A machine can be purchased for $238,000 and used for five years, ylelding 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 $15,000 Year 2 $41,000 Year 3 $78,000 Year 4 $38,500 Year 5 $111, Net income 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 Beginning Book Value Ending Book Year Annual Cash Flows Net Cash Flow Year Cumulative Cash Flow $ 238,000) Net income $ (238.000) 15,000 41,000 78,000 38,500 111,000 Payback period = A machine can be purchased for $297,000 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 $23,500 Year 2 $42,000 Year 3 $57,000 Year 4 $53,000 Year 5 $111,000 Net income Compute the machine's payback period (ignore taxes). (Round payback perlod answer to 3 decimal places.) Computation of Annual Depreciation Expense Year Ending Book Book Value of Book Value) Depreciation at Year-End Annual Cash Flows Depreciation Net Cash Flow Year 0 Cumulative Cash Flow s (297,000) Net income $ 297,000) 23,500 42,000 57.000 53.000 111.000 57.000 53,000 111.000 57.000 110.000 221,000 Payback period = 1