A machine can be purchased for $290,000 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 $17,000 Year 2 $47,000 Year 3 $71,000 Year 4 $41,500 Year 5 $122,000 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 Year Ending Book Value Beginning Book Value 290,000 210,000 2 Annual Cash Flows Depreciation Net Cash Flow Year Cumulative Cash Flow $ 290,000) Net income $ (290,000) 17,000 47,000 71,000 41,500 122,000 71,000 41,500 122,000 71,000 112,500 234,500 Payback period = years