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pull yield! Suppose that your company contracts out its computer support to an outside firm....

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Accounting

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pull yield! Suppose that your company contracts out its computer support to an outside firm. The support company charges $107 an hour, but offers two discount plans. With the Dynamic Discount Plan, you would pay a $2000 annual fee, but then only pay $60 per hour of tech support. With the Comprehensive Coverage Program, you pay $6000 annually, but are then hilled just $17.50 per hour. Calculate the payback period for each of these plans. Which has the shorter payback period compared to just paying by the hour? (See Exercises 16-17 for a continuation of this exercise). Bram, you only pays. With the .de firm. The D. Additional Exercises 16. Suppose that the tech support company from Exercise #15 also offers an Unlimited Limited Plan, which costs $10,000 per year but provides up to 80 hours of free support per year, with additional hours beyond this billed at $20 per hour. Calculate the payback period for this plan compared with paying by the hour

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