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Author Question: Welcher, Inc. plans to purchase equipment with a cost of $142,500. The company expects annual net ... (Read 57 times)

desireelg_7

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on: Feb 5, 2023

Question 1

Lorman Manufacturing purchases equipment with an expected life of 10 years for $50,000. The equipment has an estimated salvage value of $2,000. Lorman expects the new equipment to generate annual cost savings of $8,000. What is the payback period of the equipment?
◦ 6.50 years
◦ 6.25 years
◦ 10 years
◦ 6 years

Question 2

Welcher, Inc. plans to purchase equipment with a cost of $142,500. The company expects annual net cash inflows from the equipment of $30,000. The equipment has an estimated life of 8 years, no estimated salvage life, and a required rate of return is 6%. The payback period for the equipment is closest to
◦ 1 year.
◦ 4.8 years.
◦ 8 years.
◦ 1.5 years.
Managerial Accounting ¦ Davis ¦ 4th Edition
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Marked as best answer by desireelg_7 on Feb 5, 2023

tharris7314

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Reply #1 on: Feb 5, 2023
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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desireelg_7

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Reply 2 on: Feb 5, 2023
YES! Correct, THANKS for helping me on my review

patma1981

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Reply 3 on: Yesterday
Gracias!

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