Machinery Costing $72 000 Is Expected to Generate $14 000

Multiple Choice

Machinery costing $72 000 is expected to generate $14 000 annually in cash inflows during its life of 8 years. The payback in years is:

A) 5.1 years.
B) 9.0 years.
C) 5.5 years.
D) 1.8 years.