Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. the short-line railroad is considering a $150,000

The Short-Line Railroad is considering a $150,000 investment in either of two companies. The cash...

90.2K

Verified Solution

Question

Finance

The Short-Line Railroad is considering a $150,000 investment in either of two companies. The cash flows are as follows:

Year Electric Co. Water Works

1 $ 75,000 $ 30,000

2 30,000 45,000

3 45,000 75,000

4 10 15,000 15,000

a. Compute the payback period for both companies. (Round your answers to 1 decimal place.)

b. Which of the investments is superior from the information provided?

Water Works

Electric Co.

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: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

2. What is a substrate (futile) cycle? Describe an example of a pathology that develops from...

Biology
Q

How would you expect fisheries to be impacted by the increase in the number and...

Biology
Q

Label the Diagram Label the diagrams of cells using the following terms di ransport equilibrium...

Biology
Q

The message of Marianne Moore's poem "Poetry" is thaA. any poem is a good poem.B....

Biology
Q

Find the exact values of all six trigonometric functions for the angle If the function...

Geometry
Q

Write an equation for the function graphed below H 2 1 10 y 5 x...

Geometry
Q

18 Required information Part 3 of 4 Use the following information for the...

Accounting
Q

The adjusted trial balance for Chiara Company as of December 31, 2013, follows. ...

Accounting
Q

please solve for the numbers below showing the equations ill rate you up ...

Accounting
Q

To Expand or-not? A supplier in the country of Whiteland has current output of 10...

Accounting
Q

Cinemar Productions bought a piece of equipment for $55,898 that will last for 5 years....

Accounting
Q

PINO Wodo QUESTION 3 Question Short Answer question points) A Liat coding techniques and briefly...

Accounting