A machine can be purchased for $211,000 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. Year 1 $13,000 Year 2 $42,000 Year 3 $74,000 Year 4 $4,000 Year 5 $109,000 Net income Compute the machine's payback period (ignore taxes). (Round payback period answer to 3 decimal places.) Computation of Annual Depreciation Expense Year Beginning Book Value Annual Depr. (40% of Book Value) Accumulated Depreciation at Year-End Ending Book Value 1 2 3 4 5 Annual Cash Flows Year Net income Depreciation Net Cash Flow Cumulative Cash Flow $ (211.000) 0 $ 1 2. (211,000) 13,000 42,000 74,000 46,000 109,000 3 4 74,000 46,000 109,000 74,000 120,000 229,000 5 Payback period = years