You are considering two international investment projects: The first project will require 5203020 investment and is expected to have annual cash inflow of $70106. The second project will require $403516 investment and is expected to have annual cash inflow of $80458. You are concerned about your cash flow and want to make the right choice. Using the payback period, which project is better from a cash flow standpoint? Enter the amount of the lowest payback period in the answer cell. Answer: Mark's Sports, based out of Ottawa, produces high-performance ski jackets. They are extremely popular and Mark wants to expand her operation to include ski pants and mitts. To do so, he will need a special sewing machine that can exclusively manufacture this new wear. Here are the numbers: The machine would cost $98652 and would have a useful life of 8 years. It is predicted that the machine will generate $47813 in net cash flow every year. Calculate the payback period for the sewing machine. Answer: Problem 2 continued. Conclude whether or not the machine would be purchased if its maximum desired payback period is 4 years. Select one: a. No, the sewing machine should not be purchased because the payback is below 4 years. b. Yes, the sewing machine should be purchased because the payback is above 4 years. c. Yes, the sewing machine should be purchased because the payback is below 4 years. d. No, the sewing machine should not be purchased because the payback is above 4 years.