Slide $\text{'}n$ Float is considering purchasing a water park for $$1,870,000.$ The new facility will generate annual net cash inflows of $$460,000$ for $8$ years. Engineers estimate that the facility will remain useful for $8$ years and have no residual value. The company uses straight$-$line depreciation, and its stockholders demand an annual return of $10\%$ on investments of this nature.

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View the Present Value of $$1$ table.

View the Future Value of $$1$ table.

View the Present Value of Ordinary Annuity of $$1$ table.

View the Future Value of Ordinary Annuity of $$1$ table.

Requirement $1.$ Compute the payback, the ARR, the NPV$,$ the IRR, and the profitability index of this investment.

First, determine the formula and calculate payback. $($Round your answer to one decimal place, X$.$X$.)$Slide $\text{'}n$ Float is considering purchasing a water park for $$1,870,000.$ The new facility will generate annual net cash inflows of $$460,000$ for $8$ years. Engineers estimate that the facility will remain useful for $8$ years and have no residual value. The company uses straight$-$line depreciation, and its stockholders demand an annual return of $10\%$ on investments of this nature.

Read the requirements.

View the Present Value of $$1$ table.

View the Future Value of $$1$ table.

View the Present Value of Ordinary Annuity of $$1$ table.

View the Future Value of Ordinary Annuity of $$1$ table.

Requirement $1.$ Compute the payback, the ARR, the NPV$,$ the IRR, and the profitability index of this investment.

First, determine the formula and calculate payback. $($Round your answer to one decimal place, X$.$X$.)$