The games would cost a total of $392,000, have a fifteen-year useful life, and have a total salvage value of $39,200. The company estimates that annual revenues and expenses associated with the games would be as follows: Revenues Less operating expenses: $270,000 Commissions to amusement houses. Insurance $ 60,000 52,000 Depreciation 23,520 Maintenance 60,000 195,520 Net operating income $ 74,480 Required: 1a. Compute the payback period associated with the new electronic games. 1b. Assume that Nick's Novelties, Incorporated, will not purchase new games unless they provide a payback period of five years or less. Would the company purchase the new games? Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1A Req 18 Compute the payback period associated with the new electronic games. Payback Parind Years