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Question Help Dilon Durant, majority stockholder and president of Durant, Inc, is working with his top managers on future plans for the company As the

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Question Help Dilon Durant, majority stockholder and president of Durant, Inc, is working with his top managers on future plans for the company As the company's managerial accountant, you've been asked to analyze the folowing situations and make recommendaions to the management team. Read the requirements Contribuion margin per macrne nour Decision Emphasize the G582 product Requirement 4. Division D is considering two possible expansion plans. Plan A would expand a current product line at a cost of $8.440,000. Expected annual net cash infows are $1,525.000, with zero residual value at the end of 10 years. Under Plan B, Division D would begin producing a new product at a cost of 58,340,000. This plan is expected to generate net cash inflows of $1,000,000 per year for 10 years, the estimated useful ife of the product line. Estimated residual value for Plan B is $1.100.000 Dvision D uses straight-line depreciation and requires an annual relum of 9 % 4a. Compute the payback, the ARR, the NPV, and the proftablity index for beth plans Begin by calculating the payback for both plars. (Round your answers to one decimal place, XX) Amount invested Expected annual net cash inflow Payback Plan A 8440,000 1,525.000 55 vears 8.340.000 Pan B 1,090.000 7.7 years Caloulae the ARR (accountng rate of relurm) for both plans (Round your answers to the nearest enth percent, XX%) ARR Plan A % Plan B Choose from any list or enter any number in the input Selds and then click Check Answer O parts remaining Clear Al Check Anawer

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