Betty is hoping that an investment of $30,300 will provide additional revenue to the store of...

 

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Betty is hoping that an investment of $30,300 will provide additional revenue to the store of $18,200 per year for 3 years. Her partner in crime, Mark, is confident that a larger investment of $40,200 will be required to bring in a steady flow of $22,800 in new revenue per year for 3 years. Determine the discounted payback period for each investment (using before-tax cash flows). The company's required rate of return is 8%. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and final answers to 2 decimal places e.g. 15.25.) Click here to view the factor table Discounted payback period Betty years Whose investment appears to better use the company's resources? Mark years Betty is hoping that an investment of $30,300 will provide additional revenue to the store of $18,200 per year for 3 years. Her partner in crime, Mark, is confident that a larger investment of $40,200 will be required to bring in a steady flow of $22,800 in new revenue per year for 3 years. Determine the discounted payback period for each investment (using before-tax cash flows). The company's required rate of return is 8%. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and final answers to 2 decimal places e.g. 15.25.) Click here to view the factor table Discounted payback period Betty years Whose investment appears to better use the company's resources? Mark years