1 Exercise 11-3 Payback period computation; straight-line depreciation LO P1 A machine can be purchased for $100,000 and used for five years, yielding the following net incomes. In projecting net incomes, straight-line depreciation is applied using a five-year life and a zero salvage value. Year Year 2 Year) Year 4 Year Net Income $6,700 $16,700 $38.000 $29,100 $66,800 5 points Compute the machine's payback period (ignore taxes). (Round your intermediate calculations to 3 decimal places and round payback period answer to 3 decimal places.) Year 0 1 $ Answer is complete but not entirely correct. Net Depreciation Net Cash Cumulative Cash Income Flow Flow $ (100.000) $ (100,000) 6,700 $ 20.000 26,700 73,300 16,700 20.000 36,700 63,300 38.000 20,000 21,300 25,100 20,000 60,800 20,000 2 3 4 5 Payback period 3007 years