Gator Manufacturing is considering the purchase of equipment at a cost of $7,000. Gator expects the equipment to generate cash inflows of $2,000 each year for the next ten years. The payback period for the equipment is: a. 35%.
B) 285%.
C) 3.5 years.
D) 2.85 years.
E) 10 years.

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The Answer of Gator Manufacturing is considering the purchase of equipment at a cost of $7,000. Gator expects the equipment to generate cash inflows of $2,000 each year for the next ten years. The payback period for the equipment is: a. 35%.
B) 285%.
C) 3.5 years.
D) 2.85 years.
E) 10 years.

Gator Manufacturing Is Considering the Purchase of Equipment at a Cost