Wright Corp. is considering the purchase of a new piece of equipment, which would have an initial cost of $1,000,000 and a 5-year life. There is no salvage value for the equipment. The increase in cash flow each year of the equipment's life would be as follows: Year 1 $ 395,000 Year 2 $ 370,000 Year 3 $ 305,000 Year 4 $ 250,000 Year 5 $ 205,000 What is the payback period? Multiple Choice 2.20 years 2.77 years 2.81 years 3.32 years