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Project A requires a $315,000 initial investment for new machinery with a five-year life and a salvage value of $34,500. The company uses straight-line depreciation. Project A is expected to yield annual
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Project A requires a $315,000 initial investment for new machinery with a five-year life and a salvage value of $34,500. The company uses straight-line depreciation. Project A is expected to yield annual net income of $20,400 per year for the next five years. Compute Project A's payback period.

User Vishakha Lall
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16 votes
16 votes
= 9.96% is the answer of the equation
User Piyush Chauhan
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