Please help with the answers ASAP . Need to explain in an hour. Thanks.

Nick's Novelties, Inc. is considering the purchase of electronic pinball machines to place in game arcades. The machines would cost a total of $520,000, have an eight-year useful life, and have a total salvage value of $30,000. The company estimated that annual revenues and expenses associated with the machines would be as follows: $253,000 Revenues Operating expenses: Commissions to game arcades Insurance Depreciation Maintenance Net operating income $125,00 6,000 61,250 18, eee 210,250 $ 42 750 Click here to view Exhibit 10-1 and Exhibit 10-2. to determine the appropriate discount factor(s) using tables Required: 1-a. Compute the payback period. (Round your answer to 1 decimal place.) Payback period years 1-b. Assume that Nick's Novelties, Inc. will not purchase new equipment unless it provides a payback period of 6 years or less. Will the company purchase the pinball machines? O Yes O NO 2-a. If Nick's Novelties, Ina, has a discount rate of 16%, what is the NPV of this investment? (Hint Identify the relevant costs and then Click here to view Exhibit 10-1 and Exhibit 10.2. to determine the appropriate discount factor(s) using tables Required: 1-a. Compute the payback period. (Round your answer to 1 decimal place.) years 3 1 1-b. Assume that Nick's Novelties, Inc. will not purchase new equipment unless it provides a payback period of 6 years or less. Will the company purchase the pinball machines? Yes 2-a. If Nick's Novelties, Inc. has a discount rate of 16%, what is the NPV of this investment? (Hint Identify the relevant costs and then perform an NPV analysis.) (Negative amount should be indicated with a minus sign. Round discount factor(s) to 3 decimal places.) Net present value h MOM NUR 15 of 15 Next Prey