- X Data Table Cost of water treatment system $ 37,800 0 Estimated residual value Estimated annual net cash inflow (each year for 7 years) from anticipated environmental cleanup savings 9,000 Estimated useful life 7 years Print Done x Requirements 1. Compute the water treatment system's payback. 2. Compute the water treatment system's ARR. 3. Should Dexter - pro turn down this investment proposal or consider it further? Print Done This Question: 4 pts 19 of 22 (19 complete) This Test: 75 pts possible . Dexter - pro is considering buying a new water treatment system for its plant in Austin, Texas. The company screens its potential capital investments using the payback and accounting rate of return methods. If a potential investment has a payback of less than six years and a minimum 16% accounting rate of return, it will be considered further. The data for the water treatment system follow El Click the icon to view the water treatment system data.) Read the requirements Requirement 1. Compute the water treatment system's payback. (Round your answer to one decimal place, X.X.) Payback = years Requirement 2. Compute the water treatment system's ARR. (Round the percentage to the nearest tenth percent, X.X%.) = ARR % Requirement 3. Should Dexter - pro turn down this investment proposal or consider it further? The water treatment system proposal The payback is six years, and the accounting rate of return is | 16%. Dexter - pro should the proposal