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Project A requires a $435000 initial investment for new machinery with a five year life and a salvage value of $40500. The company uses straight

Project A requires a $435000 initial investment for new machinery with a five year life and a salvage value of $40500. The company uses straight line depriciation. Project A is expected to yield annual net income of $26,800 per year for the next five years. image text in transcribed
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! Required information [The following information applies to the questions displayed below.] Project A requires a $435,000 initial investment for new machinery with a five-year life and a salvage value of $40,500. The company uses straight-line depreciation Project A is expected to yield annual net income of $26,800 per year for the next five years. Compute Project A's payback period. Choose Numerator: Payback Period 1 Choose Denominator: 1 Annual net cash flow = Payback Period Payback period Cost of investment 11 ! Required information (The following information applies to the questions displayed below.) Project A requires a $435,000 initial investment for new machinery with a five-year life and a salvage value of $40,500. The company uses straight-line depreciation Project A is expected to yield annual net income of $26,800 per year for the next five years. Compute Project A's accounting rate of return. Choose Numerator: Annual after-tax net income Accounting Rate of Return Choose Denominator: Annual average investment Accounting Rate of Return Accounting rate of return 0

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