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Sentinel Company is considering an investment in technology to improve its operations. The investment will require an Initial outlay of $253,000 and will yield the

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Sentinel Company is considering an investment in technology to improve its operations. The investment will require an Initial outlay of $253,000 and will yield the following expected cash flows. Management requires Investments to have a payback period of 2 years, and it requires a 10% return on investments. (PV of $1. FV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the table provided.) Period Cash Flow 1 $ 48,000 52,900 75,100 95,800 125,900 Required: 1. Determine the payback period for this investment 2. Determine the break-even time for this investment. 3. Determine the net present value for this investment Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Determine the payback period for this investment (Enter cash outflows with a minus sign. Round your Payback period answer to 1 decimal place.) Year Cash inflow (outflow) Cumulative Net Cash Inflow (outflow) $ 1253 000) 205,000 0 1 2 (253,000) 48.000 52.900 75,100 95,800 125,000 3 4 5 Calculate the portion of the year Numerator for partial year Denominator for partial year Payback period 1.0 years Required 2 > Sentinel Company is considering an investment in technology to improve its operations. The investment will require an Initial outlay of $253,000 and will yield the following expected cash flows. Management requires Investments to have a payback period of 2 years, and it requires a 10% return on investments. PV of $1. FV of $1. PVA of $1, and FVA of $1 (Use appropriate factor(s) from the table provided.) Period Cash Flow 48,000 52,900 75,100 95,800 125,900 Required: 1. Determine the payback period for this investment. 2. Determine the break-even time for this investment. 3. Determine the net present value for this investment. Complete this question by entering your answers in the Required 1 Required 2 Required 3 Determine the break-even time for this investment.( answer to 1 decimal place.) minus sign. Round your break-even time Year Table factor 38 Cash Intlow (outflow) (253,000) 590 EESTI 21.91 0 Sentinel Company is considering an investment in technology to improve its operations. The investment will require an Initial outlay of $253,000 and will yield the following expected cash flows. Management requires Investments to have a payback period of 2 years, and it requires a 10% return on investments. (PV of $1. FV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the table provided.) Period Cash Flow $ 48,000 52,900 75,100 95,800 125,900 Required: 1. Determine the payback period for this investment 2. Determine the break-even time for this investment. 3. Determine the net present value for this investment Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Determine the net present value for this investment. Net present value ( Required 2

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