Vilas Company is considering a capital investment of $190,100 in additional productive facilities. The new machinery is expected to have a useful life of 5 years with no salvage value. Depreciation is by the straight-line method. During the life of the investment, annual net income and net annual cash flows are expected to be $11,500 and $49,700, respectively. Vilas has a 12% cost of capital rate, which is the required rate of return on the investment. Click here to view PV table. Compute the cash payback period. (Round answer to 2 decimal places, e.g. 10.50.) Cash payback period 3.82 years Compute the annual rate of return on the proposed capital expenditure. (Round answer to 2 decimal places, eg. 10.50,) Annual rate of return 18 | 96