The Sheffield Company is planning to purchase $633,600 of equipment with an estimated seven-year life and no estimated salvage value. The company has projected the following annual cash flows for the investment. Projected Cash Flows Year 1 $238,000 N 168,600 3 123,400 4 88,800 5 88,800 6 52,500 7 52,500 Total $812,600 (a) Calculate the payback period for the proposed equipment purchase. Assume that all cash flows occur evenly throughout the year. Payback period 4 years and 9 months. (b) If Sheffield requires a payback period of 4 years or less, should the company make this investment? The company should not make this investment eTextbook and Media Save for Later Attempts: 2 of 3 used Submit