A machine can be purchased for $232,000 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 $11,500 Year 2 $30,000 Year 3 $63,000 Year 4 $56,000 Year 5 $100,000 Compute the machine's payback period (ignore taxes) (Round payback period answer to 3 decimal places.) Computation of Annual Depreciation Expense Annual Depr (40% Accumulated of Book Value) Depreciation at Year End Year Beginning Book Value Ending Book Value 1 2 3 4 5 Annual Cash Flows Year Depreciation Net Cash Flow Net Income $ 232.000) 0 Cumulative Cash Flow $ (232,000) 2 2 3 3 4 5 5 Annual Cash Flows Year Net income Depreciation Net Cash Flow Cumulative Cash Flow $ (232,000) 0 1 1 2 $ (232,000) 11,500 30,000 63,000 56,000 108,000 3 4 4 5 Payback period = years