A machine can be purchased for $202,000 and used for five years, yielding the following net incomes. In projecting net incomes, double-declining depreciation is applied using a five-year life and a zero salvage value. Net income Year 1 $18,000 Year 2 $46,000 Year 3 $59,000 Year 4 $57,500 Year 5 $140,000 Compute the machine's payback period (ignore taxes). (Round payback period answer to 3 decimal places.) Computation of Annual Depreciation Expense Beginning Annual Depr. Accumulated (40% of Book Depreciation at Book Value Value) Year-End Year Ending Book Value - 2 4 5 Annual Cash Flows Year Net income Depreciation Net Cash Flow Cumulative Cash Flow $ (202,000) $ (202,000) 18,000 46,000 59,000 57,500 140,000 3 59,000 57,500 140,000 59,000 116,500 256,500 Payback period = years