Required Information The following information applies to the questions displayed below Nick's Novelties, Inc. is considering the purchase of new electronic games to place in its amusement houses. The games would cost a total of $300,000, have a fifteen year useful life, and have a total salvage value of $45.000. The company estimates that annual revenues and expenses associated with the games would be as follows Nevenues Les cortines Commissions to amusement houses Insurance Depreciation maintenance Het operating in $200.00 560,000 . 17.00 SO,000 1070 Required 1. Compute the payback period associated with the new electronic games 16. Assume that Nicks Novelties, Inc. will not purchase new games unless they provide a payback period of five years or less Would the company purchase the new games? Complete this question by entering your answers in the tabs below, Hea Tege PISY 2 Next > narch O LI E E | BN M Required Information The following information apples to the questions displayed below Nick's Novelties, Inc., is considering the purchase of new electronic games to place in its amusement houses. The games would cost a total of $300,000, have a fifteen year useful life, and have a total salvage value of $45,000. The company estimates that annual revenues and expenses associated with the games would be as follows Revenues Less operating expenses: Commissions to amusent houses Tesurance Depreciation Maintenance Net operating income 5200,000 560,000 40,000 17,000 se.co 167,000 533,00 Required: 1a Compute the payback period associated with the new electronic games 16. Assume that Nick's Novelties, Inc. will not purchase new games unless they provide a payback period of five years or less. Would the company purchase the now games? Complete this question by entering your answers in the tabs below. -search O BO'F W o E . K B N