A machine can be purchased for $266,000 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 $24,500 $27,000 $66,000 $37,500 $128,000 Year 2 Year 3 Year 4 Year 5 Net income Compute the machine's payback period (ignore taxes). (Round payback period answer to 3 decimal places.) Computation of Annual Depreciation Expense Beginning Book Value Annual Dept(40% Ending Book Accumulated Year of Book Value) Depreciation at Year-EndValue 2 4 5 Annual Cash Flows Cumulative Cash Flow Net Cash Flow Year Net income Depreciation 0 (266,000) 24,500 27,000 66,000 37,500 128,000 $ (266,000) 2 4 Payback period years