Keltner Enterprises Is Considering Investing in a New Packing Machine

question 47

Multiple Choice

Keltner Enterprises is considering investing in a new packing machine.The new machine will provide annual cash operating inflows of $12,300 for 5 years.The cost of the machine is $42,300 and it can be sold at the end of its 5-year useful life for $6,800.Keltner's required rate of return is 10%.What is the packing machine's payback period?

• A)3.44 years
• B)2.89 years
• C)3.99 years
• D)7.69 years

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Definitions:

Quality of Voice

The characteristics of a person's voice, including tone, pitch, and clarity, which affect how the voice is perceived.

Hand Gestures

Physical movements of the hands and arms that are used to convey messages or emotions, often accompanying speech.

Pleasant Demeanour

A friendly and agreeable manner that makes others feel comfortable.

Employment Discrimination

Unfair treatment of employees or job applicants based on race, gender, age, religion, nationality, physical ability, or sexual orientation.