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Week 4 Homework Assignment i Submitted 11.79/15 Total points awarded Help Exit You are evaluating two different cookie-baking ovens. The Pillsbury 707 costs $69,000, has
Week 4 Homework Assignment i Submitted 11.79/15 Total points awarded Help Exit You are evaluating two different cookie-baking ovens. The Pillsbury 707 costs $69,000, has a 5-year life, and has an annual OCF (after-tax) of $11,100 per year. The Keebler Cookie Munster costs $95,500, has a 7-year life, and has an annual OCF (after-tax) of -$9,100 per year. If your discount rate is 13 percent, what is each machine's EAC? (Negative amounts should be indicated by a minus sign. Round your answers to 2 decimal places.) 0/2.14 points awarded EAC Scored Pillsbury 707 Keebler Cookie Munster $ $ 30,718.00 30,693.71 % eBook Print References Week 4 Homework Assignment i Submitted 11.79/15 Total points awarded Help Exit Compute the payback statistic for Project B if the appropriate cost of capital is 10 percent and the maximum allowable payback period is three years. (If the project never pays back, then enter a "O" (zero).) Project B Time: 0 1 2 3 Cash flow: $13,000 $3,550 $4,580 $1,920 4 $0 5 $1,400 1.07/2.14 points awarded Scored Payback (1,550) years eBook Print Should the project be accepted or rejected? References accepted rejected
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