Payback comparisons Nova Products has a 5-your maximum acceptable payback period. The firm is considering the purchase of a new machine and must choose between two alternatives. The first machine requis an initial investment of $11,000 and generates annual after-tax cash inficws of $2,000 for each of the next 11 years. The second machine requires an initial investment of 543,000 and provides an annual cashietlow after taxes of $9.000 for 20 years a Determine the payback period for each machine b. Comment on the acceptability of the machines, assuming that they are independent projects a. Do the machines in this problem hustrato any of the weaknesses of using payback? Based on their payback periods, which machine should the firm accept? (Select the best answer below) OA Machine 2 OB. Machine 1 OC. Neither d do the machines in this problem illustrate any of the weaknesses of using payback? (Select the best arawer below) OA. Machine 2 has returns that tast 20 years while Machine has only 11 years of returns. Payback cannot consider this difference it ignores al cash inflows beyond the payback period Os Machine 2 has returns that last only 11 years while Machine 1 has 20 years of retums. Payback cannot consider this difference it ignores al cash inflows beyond the payback period OC Machine 2 has returns that last 20 years while Machine 1 has only 11 years of retums. Payback consident only the first 11 years for each machine OD. Machino 2 has returns that last 20 years while Machine 1 has only 11 years of returns Payback contiders this diferences, it includes all cash infows beyond the payback period