A machine can be purchased for $262,000 and used for five years, yielding the following net in double-declining depreciation is applied, using a five-year life and a zero salvage value. Net income Year 1 $14,500 Year 2 $36,000 Year 3 $76,000 Year 4 $55,500 Year 5 $ 127,000 Compute the machine's payback period (ignore taxes). (Round payback period answer to 3 dec Computation of Annual Depreciation Expense Annual Depr. (40% Accumulated of Book Value) Depreciation at Year-End Beginning Book Value Year Ending Book Value 1 N 3 4 5 Annual Cash Flows Depreciation Net Cash Flow Year Net income Cumulative Cash Flow $ (262,000) 0 $ (262,000) 14,500 1 1 2 3 4 5 Annual Cash Flows Depreciation Net Cash Flow Year Net income Cumulative Cash Flow $ (262,000) 0 1 2 $ (262,000) 14,500 36,000 76,000 55,500 127,000 3 4 76,000 55,500 127,000 76,000 131,500 258,500 5 Payback period = years ..Activato