The new deep-frying system installed in Roger's Deli is exactly like the old one except that it uses less electricity-$10 less electricity per day when compared to the old fryer.Assume that there are 21 workdays per month when the fryer is in use.Which of the following is the most accurate estimate of the payback period for the $1,500 investment in the new fryer?
A) A little more than seven months
B) A little less than six years
C) A little over 9.5 years
D) 12.5 years
E) None of the above

Question

Quizplus · Accepted Answer

The fryer saves $10 per day, and with 21 workdays per month, it saves $210 per month. The payback period for a $1,500 investment is $1,500 / $210 ≈ 7.14 months, which is a little more than seven months.

The New Deep-Frying System Installed in Roger's Deli Is Exactly