Question: Use Payback analysis at 15% to select a system for the following system First cost $ NCF, $ per year System 1 system 2 70,000

 Use Payback analysis at 15% to select a system for the

Use Payback analysis at 15% to select a system for the following system First cost $ NCF, $ per year System 1 system 2 70,000 60,000 4,000 (Year 1 5,000 5) 6,000 (year 6 14) 20 25 Maximum life,years A. 14 Years Find the no-return payback for system one B. 15 years C. System 1 Find the no-return payback for system two? Which system has the better payback period? D. System 2 which system has longer payback period? E. 12 years F. 17 years

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