Henck Corporation is investigating automating a process by purchasing a new machine for $520,000 that would have a 8 year useful life and no salvage value. By automating the process, the company would save $134,000 per year in cash operating costs. The annual depreciation on the new machine would be S65,000. Required: Determine the simple rate of return on the investment to the nearest tenth of a percent and the payback period. Show your work