The Sip \& Dip Donut company is considering the acquisition of a new automatic donut dropper for $540,000. The machine will have a six-year life and will produce before tax cash savings of $200,000each year. The asset is to be depreciated using the straight-line method with no salvage value. The company's tax rate is 40 percent. The after-tax net cash inflow on the investment is $160,000$80,000$200,000$156,000 Question 7 (2.5 points) Saved The Sip \& Dip Donut company is considering the acquisition of a new automatic donut dropper for $540,000. The machine will have a six-year life and will produce before tax cash savings of $200,000 each year. The asset is to be depreciated using the straight-line method with no salvage value. The company's tax rate is 40 percent. The payback period is 5 years 3.75 years 3.46 years 7.50 years