ALL 3020 EXAM 3, Part II, Exercise Solving and Multiple Choice Question 6 of 11 -18 $ Current Attempt in Progress Pronghorn Company is considering a capital investment of $430.280 in additional productive facilities. The new machinery is expected to have a useful life of 5 years with no salvage value. Depreciation is computed by the straight-line method. During the life of the investment, annual net income and cash flows are expected to be $40.000 and $124,000, respectively. Pronghom has a 12% cost of capital rate, which is the minimum acceptable rate of return on the investment Click here to view PV tables (a) Compute the annual rate of returns (Round onswer to 1 decimal place, eg 155) Annual rate of return % Compute the cash payback period on the proposed capital expenditure. (Round answer to 2 decimal places, a 15.25) Cash payback period years 48:39