Chapter $12($Payback and Net Present Value Methods Only$)$

$16.$ A company is considering the purchase of a new machine that costs $$50,000$ and is expected to reduce operating costs by $$10,000$ per year. These reductions in cost will occur evenly throughout the year. What is the payback period for this machine, in years? Show your calculations.

$17.$ An investment project has a net present value of $$500.$ Using the general decision rule for the net present value method, what conclusion should be made about this project?

Use the following information to answer questions $18-20$:

A company has $$38,000$ to invest in either Project $x$ or Project $Y.$ The company's required rate of return $($discount rate$)$ is $6\%.$ The following data are available on these projects:

$\backslash$table$[[,$Project $x,$Project $Y$