The Logan Company specializes in decorative fruit baskets.Currently,the company is analyzing purchase alternatives for a fruit-polishing machine.Data relevant to the decision are as follows:

a.Compute the payback period for each of the alternatives.Round answers to two decimal places.
b.Using the net present value method,prepare an analysis to determine which machine the company should purchase.(The company uses a 10 percent minimum desired rate of return. )

Question

The Logan Company specializes in decorative fruit baskets.Currently,the company is analyzing purchase alternatives for a fruit-polishing machine.Data relevant to the decision are as follows:
 
a.Compute the payback period for each of the alternatives.Round answers to two decimal places.
b.Using the net present value method,prepare an analysis to determine which machine the company should purchase.(The company uses a 10 percent minimum desired rate of return. )

Quizplus · Accepted Answer

The Answer of The Logan Company specializes in decorative fruit baskets.Currently,the company is analyzing purchase alternatives for a fruit-polishing machine.Data relevant to the decision are as follows:
 
a.Compute the payback period for each of the alternatives.Round answers to two decimal places.
b.Using the net present value method,prepare an analysis to determine which machine the company should purchase.(The company uses a 10 percent minimum desired rate of return. )

The Logan Company Specializes in Decorative Fruit Baskets