Chapter 5 Class Activities Which of the following machine to be selected based on Payback period Average rate of return. Sr. Machine A Machine B No. RO. RO. Year Cash outflow/ (50,000.00) Cash...

 Sr.

Machine A

Machine B

 No.

RO.

RO.

Year

Cash outflow/

(50,000.00)

Cash outflow/

(50,000.00)

1

           6,000.00

          15,000.00

2

           7,200.00

          17,500.00

3

           7,350.00

          18,000.00

4

           8,200.00

            5,000.00

5

           9,820.00

                       -

6

         10,200.00

                       -

7

         12,500.00

                       -

         61,270.00

          55,500.00