Payback comparisons Nova Products has a 4-year maximum acceptable payback period. The firm is considering the purchase of a new machine and must choose between two alternatives. The first machine requires an initial investment of $27,000 and generates annual cash inflows of $6,000 for each of the next 10 years. The second machine requires an initial investment of $11,000 and provides an annual cash inflow of $3,000 for 28 years. a. Determine the payback period for each machine. b. Comment on the acceptability of the machines, assuming that they are independent projects. c. Which machine should the firm buy? Why? d. Does this problem illustrate any of the payback method's weaknesses? a. The payback period for the first machine is years. (Round to two decimal places.) The ayback eriod for the second machine is years. (Round to two decimal aces.) b. Is the first machine acceptable? (Select the best answer below.) Yes No Is the second machine acceptable? (Select the best answer below.) No Yes c. Based on their payback periods, which machine should the firm accept? (Select the best answer below.)