A company is considering purchasing a machine for $85,000. The machine is expected to generate a net after-tax income of $11,250 per year. Depreciation expense would be $8,500. What is the payback period for this machine?
What will be an ideal response?
$85,000/($11,250 + $8,500) = 4.3 years
Business
You might also like to view...
The first stage of the product development process is?
a. Product and process design b. Idea generation c. Concept development d. Screening and analysis
Business
A grandmother in her will has written the following: "I leave my antique car to my only grandson, Jordan." Jordan is the:
A) donor. B) life tenant. C) fee holder. D) beneficiary.
Business
A patent is a contract between the government and an inventor.
Answer the following statement true (T) or false (F)
Business
Providing self-management training is an example of an internal learning condition.
Answer the following statement true (T) or false (F)
Business