36. Pullman Associate is considering the purchase of new drilling equipment that will cost $170,000 and will produce $10,000 annual net income for four years after which it will be sold for $40,000, its salvage value. The new machine will generate depreciation expense of $40,000 a year using the straight-line method. What is the before-tax payback period of the new machine? a. 2.8 years b. 3.4 years c. 17 years d. 20 years