Question

Artscape Inc. is considering the purchase of automated machinery that is expected to have a useful life of five years and no residual value. The average rate of return on the average investment has been computed to be 20%, and the cash payback period was computed to be 5.5 years.
Do you see any reason to question the validity of the data presented? Explain.



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  • CreatedJune 27, 2014
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