Exercise 24-3 Payback period computation; straight-line depreciation LO P1 A machine can be purchased for $200,000 and used for five years, yielding the following net incomes. In projecting net incomes. straight-line depreciation is applied using a five-year life and a zero salvage value. Year 1 Net income $13,500 Year 2 $33,500 Year 3 $83,000 Year 4 $50,500 Year 5 $134,000 Compute the machine's payback period (ignore taxes). (Round your intermediate calculations to 3 decimal places and round payback period answer to 3 decimal places.) Year Net Income Depreciation Net Cash Flow Cumulative Cash Flow $ (200,000) $ (200,000) 0 1 $ 2 3 13,500 33,500 83,000 50,500 134,000 4 5 Payback period