Sun Coast Tours is considering purchasing a new boat for use in its tour business. Relevant information concerning the boat is as follows: [Ignore income taxes.) Purchase cost $231,688 Annual net cash inflows that will be provided by the boat $ 55,889 Life of the boat 19 years Required: 1-6. Compute the payback period for the boat. {Round your answer to 1 decimal place.) year(s) 1-b. If the company rejects all proposals with a payback period of more than ve years, will the boat be purchased? 0 Yes 0 No 2-a. Compute the simple rate of return on the boat. Use straightline depreciation based on the boat's useful life, assuming $13,800 salvage value. (Round your answer to 1 decimal place.) % 2-b. Will the boat be purchased if the company's required rate of return is 10%? 0 Yes 0 No