Questin is in the practice sheet

1. Given a present value factor of 3.6048, assuming a 12% discount rate, the present value of an annuity of $58,000 payment each year for 5 years is ? rounded to the nearest dollar. 2 Points 2. S Corporation is considering investing in a new packing machine. The new machine will provide annual cash operating inflows of $22,680 for 10 years. The cost of the machine is $77,880 and it can be sold at the end of its 10-year useful life for $6,220. Keltner's required rate of return is 10%. What is the packing machine's payback period? Take your answer to 2 places to the right of the decimal. 2 points 3. M W Shop is considering the purchase of new high-tech welding equipment. If the equipment is purchased, M will incur an additional $16,000 in annual depreciation expense for the next five years. In determining the cash flows associated with the new equipment, the $16,000 of annual depreciation expense is? 2 Points