A machine can be purchased for $220,000 and used for five years, yielding the following...
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Accounting
A machine can be purchased for $220,000 and used for five years, yielding the following net incomes. In projecting net incomes, straight-line depreciation is applied, using a five-year life and a zero salvage value. Year Year 1 $14,900 Year 2 $36,900 Year 3 999,000 Year 4 $55,700 Net non $147,600 Compute the machine's payback period (ignore taxes). (Round your intermediate calculations to 3 decimal places and round payback period answer to 3 decimal places.) Year Net Income Depreciation Net Cash Flow Cumulative Cash Flow (220,000) $ (220,000) 14,900 36,900 99.000 55,700 147,600 Payback period
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