I need help figuring out how to calculate thepayback period: A machine can be pu

Question

I need help figuring out how to calculate thepayback period:
A machine can be purchased for $150,000 andused for 5 years, yielding the following net incomes. In projectingnet incomes, double-declining balance depreciation is applied,using a 5-year life and a zero salvage value. Ignoretaxes. Year 1 Year 2 Year 3 Year 4 Year 5 Net incomes $10,000 $25,000 $50,000 $37,500 $100,000 The formula for payback period is: Cost of investment/Annual net cash flow The answer for this problem is 2.265 years but, I need helptrying to get this answer. I need help figuring out how to calculate thepayback period:
A machine can be purchased for $150,000 andused for 5 years, yielding the following net incomes. In projectingnet incomes, double-declining balance depreciation is applied,using a 5-year life and a zero salvage value. Ignoretaxes. Year 1 Year 2 Year 3 Year 4 Year 5 Net incomes $10,000 $25,000 $50,000 $37,500 $100,000 The formula for payback period is: Cost of investment/Annual net cash flow The answer for this problem is 2.265 years but, I need helptrying to get this answer. I need help figuring out how to calculate thepayback period:
A machine can be purchased for $150,000 andused for 5 years, yielding the following net incomes. In projectingnet incomes, double-declining balance depreciation is applied,using a 5-year life and a zero salvage value. Ignoretaxes.

Explanation / Answer

x.

Related Questions

Navigate

• Browse (All)
• Browse I
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.