Flexsteel Industries manufactures furniture for the retail contract and recreational vehicle furniture markets The company is considering the purchase of a new piece of equipment which would have an initial cost of 521 000 a 7 year life and 150 000 salvage value The increase in cash flow each year of the equipment s life would be as follows Year 1 Year 2 Year 3 Year 4 106 000 98 000 96 000 85 000 Year 5 82 000 Year 6 77 000 Year 7 71 000 What is the payback period