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Sharon Shrills is considering an expansion of one of its existing buildings to add more manufacturing space for its kid-friendly noisemakers. Several possible scenarios exist

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Sharon Shrills is considering an expansion of one of its existing buildings to add more manufacturing space for its kid-friendly noisemakers. Several possible scenarios exist for future cash flows, as follows. 1. Construction costs of $503,000; steady sales and costs each year, netting to an annual operating cash inflow of $70,000; the expansion would have no salvage value at the end of its 10 -year useful life (the building would be repurposed for a different product). 2. Construction costs of $503,000; rising and then falling net cash flows each year for 10 years, as follows: $50,000 for the first 2 and last 2 years, $175,000 for years 35, and $100,000 for years 68. 3. Construction costs of $708,000; no cash flows in year 1,$75,000 in years 2 and 3,$148,000 in year 4,$102,500 in years 58, and $51.000 in the last 2 years. (a) Calculate the simple payback period for all three scenarios. (Round answers to 2 decimal places e.g. 15.25.)

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