Question: how i do this ? Problem #1 The following data applies to a New System to be implemented in a company: Investment cost in n



Problem #1 The following data applies to a New System to be implemented in a company: Investment cost in n = 0: $5,000 Investment cost in n=1: $15,000 Shelf life: 10 years Residual value (at the end of 11 years): $5,000 Annual income: $10,000 per year Annual expenses: $2,000 per year MARR: 8% Note: The first income and expenses will occur at the end of year 2, Requirements: A. Determine the conventional payback period Period Cash Flow Accumulated Cash Flow Accumulated Cash Period Cash Flow Flow Use this space to perform the linear approximation to obtain the value of n. y E B. Determine the discounted payback period Period Cash Flow Cost of Funds Accumulated Cash Flow Use this space to perform the linear approximation to obtain the value of n. y
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