Question: I LOR Submit to compete this assessment Question 5045 Question 5 5 points Save Answer Soita Pharmacy is considering the purchase of a copying machine,

 I LOR Submit to compete this assessment Question 5045 Question 5

I LOR Submit to compete this assessment Question 5045 Question 5 5 points Save Answer Soita Pharmacy is considering the purchase of a copying machine, which it will make available to customers at a per-copy charge The copying machine has an initial cost of $8,500, an estimated tselulife of five years, and an estimated salvage value of $2,500 The estimated annual revenue and expenses relating to operation of the machine are as follows Revenue $9.000 Expenses other than depreciation . . $5,500 All revenue will be received in cash, expenses other than depreciation will be paid in cash: Depreciation will be computed by the straight-line metho Calculate the following (amounts should ignores and commas please round numbers, no decimals le 141115.12) 1 Annual increase in Port's net income 2. Arvual net cash flow 3. Payback period years 4. Return on average investment 5 Net present value (round to the nearest dollar of the proposed investment discounted at an annual rate of 15% Tables show that the present value of $1 to be received in five periods discourried al 15%, 0.497 and that the present value of a five year annuity of $1. discounted at 15 3.352)

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