**Payback and ARR**Each of the following scenarios is independent. All cash flows are after-tax cash flows.**Required:**1. **Brad Blaylock** has purchased a tractor for $91,250. He expects to receive a net cash flow of $33,000 per year from the investment. What is the payback period for Jim? Round your answer to two decimal places. [Answer Box] years2. **Bertha Lafferty** invested $372,500 in a laundromat. The facility has a 10-year life expectancy with no expected salvage value. The laundromat will produce a net cash flow of $123,000 per year. What is the accounting rate of return? Enter your answer as a whole percentage value (for example, 16% should be entered as "16" in the answer box). [Answer Box] %3. **Melannie Bayless** has purchased a business building for $325,000. She expects to receive the following cash flows over a 10-year period: - Year 1: $42,000 - Year 2: $55,000 - Year 3-10: $87,400 What is the payback period for Melannie? Round your answer to one decimal place. [Answer Box] years What is the accounting rate of return? Enter your answer as a whole percentage value (for example, 16% should be entered as "16" in the answer box). [Answer Box] %

Hey there since you have posted multiple questions, we can answer only first question for you, please re-submit the questions that needs to be answered separately.1. payback period = $91,250 / $33,000 payback period = 2.77 years

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Each of the following scenarios is independent. All cash flows are after-tax cash flows. Required: 1. Brad Blaylock has purchased a tractor for $91,250. He expects to receive a net cash flow of $33,000 per year from the investment. What is the payback period for Jim? Round your answer to two decimal places. years

Each of the following scenarios is independent. All cash flows are after-tax cash flows. Required: 1. Brad Blaylock has purchased a tractor for $91,250. He expects to receive a net cash flow of $33,000 per year from the investment. What is the payback period for Jim? Round your answer to two decimal places. years

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Payback Period < Each of the following scenarios is independent. Assume that all cash flows are after-tax cash flows. a. Colby Hepworth has just invested $600,000 in a book and video store. She expects to receive a cash income of $120,000 per year from the investment. b. Kylie Sorensen has just invested $1,640,000 in a new biomedical technology. She expects to receive the following cash flows over the next 5 years: $350,000, $490,000, $820,000, $520,000, and $300,000. c. Carsen Nabors invested in a project that has a payback period of 4 years. The project brings in $960,000 per year. d. Rahn Booth invested $1,400,000 in a project that pays him an even amount per year for 5 years. The payback period is 2.5 years. Required: 1. What is the payback period for Colby? Round your answer to two decimal places. 5 years 2. What is the payback period for Kylie? Round your answer to one decimal place. years 3. How much did Carsen invest in the project? $ 4. How much cash does Rahn receive each…
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