Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. abc company purchased equipment having a cost of $

ABC Company purchased equipment having a cost of $150,000. It is expected that the equipment...

70.2K

Verified Solution

Question

Accounting

ABC Company purchased equipment having a cost of $150,000. It is expected that the equipment will generate annual net cash inflows of $40,000 per year and the equipment has an expected 8-year life. ABC Company employs a cost of capital of 14% on all capital projects. The payback period on the machine is equal to:

*Please give brief explanation of how you came to the answer*

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

CHOOSE THE CORRECT ANSWER AND EXPLAIN FOR EACH OPTION WHY YOU DID NOT CHOOSE THAT OPTION. Arrange...

Biology
Q

1. A premixed stoichiometric methane-air flame has a laminar flame speed of 0.33 m/s and a...

Mechanical Engineering
Q

***************I NEED THE BEST ANSWER FOR THIS. DON'T WASTE MY QUESTIONS. I NEED MINIMUM 5 PAGE...

General Management
Q

Block copy, and paste, the argument into the window below, and do a proof to prove...

Advance Math
Q

10 A practically very small source S of light is kept in front of a...

Physics
Q

PQRS is a kite Find the value of x A 122 B 22 2 C...

Geometry
Q

and m P 72 x then the value of x determine I P Q

Geometry
Q

The vertex form of the equation of a horizontal parabola is given by z= 1/4p(y-k)2+h,...

Basic Math
Q

Find the area of the region bounded by the graphs of the given equations y...

Calculus
Q

Kindly, correct me if I am wrong. Income statement (represents profitability in period of...

Accounting
Q

Corporations, Partnerships, Estates & Trusts Problems pages 19-35 Please complete each problem on a separate...

Accounting
Q

Materiality is a key factor guiding the substantive procedures. which one is TRUE? Materiality...

Accounting