Question: can someone explain why this is wrong? I'm not entirely sure why. Required information (The following information applies to the questions displayed below.) Project A
can someone explain why this is wrong? I'm not entirely sure why.

Required information (The following information applies to the questions displayed below.) Project A requires a $345,000 initial investment for new machinery with a five-year life and a salvage value of $33,500. The company uses straight-line depreciation. Project A is expected to yield annual net income of $26,200 per year for the next five years. Compute Project A's payback period. Answer is complete but not entirely correct. Choose Numerator: Cost of investment Payback Period Choose Denominator: Annual net cash flow $ 26,200 = = = Payback Period Payback period 13.17 years 345,000
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