A company is considering investing in new equipment that costs $110,000 and will generate $39,000 in...

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A company is considering investing in new equipment that costs $110,000 and will generate $39,000 in annual net cash flows for five years. The company requires a 12% return on all investments. Determine the break-even time for this equipment. Note: Negative cumulative cash flows should be indicated with a minus sign. Year Net Cash Flow Present Value of 1 = at 12% Present Value of Net Cash Cumulative Present Value of Net Cash Flows Flows Initial investment $ (110,000) 1.0000 $ (110,000) $ (110,000) Year 1 39,000 0.8929 = Year 2 39,000 0.7972- Year 3 39,000 0.7118- Year 4 39,000 0.6355- Year 5 39,000 0.5674= (Round break-even time answers to two decimal places.) A company is considering investing in new equipment that costs $110,000 and will generate $39,000 in annual net cash flows for five years. The company requires a 12% return on all investments. Determine the break-even time for this equipment. Note: Negative cumulative cash flows should be indicated with a minus sign. Year Net Cash Flow Present Value of 1 = at 12% Present Value of Net Cash Cumulative Present Value of Net Cash Flows Flows Initial investment $ (110,000) 1.0000 $ (110,000) $ (110,000) Year 1 39,000 0.8929 = Year 2 39,000 0.7972- Year 3 39,000 0.7118- Year 4 39,000 0.6355- Year 5 39,000 0.5674= (Round break-even time answers to two decimal places.)