Problem #5: Capital Budgets Lockwood Company would like to purchase a production machine for $900,000. The machine is expected to have a life of five years, and a salvage value of $100,000. Annual maintenance costs will total $40,000. Annual savings are predicted to be $350,000. The company only accepts projects that have a payback period of less than three years. Required: (1) Calculate the payback period for this project rounded to the nearest month. Show your work. (2) Should the company accept this proposal? Explain.