Project A requires a $360,000 initial investment for new machinery with a five-year life and a salvage value of $42,500. The company uses straight-line depreciation. Project A is expected to yield annual net income of $29,700 per year for the next five years. Required information Use the following information for the Quick Study below. (The following information applies to the questions displayed below.) Project A requires a $360,000 initial investment for new machinery with a five-year life and a salvage value of $42,500. The company uses straight-line depreciation. Project A is expected to yield annual net income of $29,700 per year for the next five years. QS 24-5 Payback period LO P1 Compute Project A's payback period. Answer is complete but not entirely correct. Choose Numerator: Cost of investment Payback Period Choose Denominator: Annual net cash flow $ 110.2003 - Payback Period Payback period 3.27 years 360,000