Year 1 $ 111,000 Patterson Corporation is considering the purchase of a new piece of equipment, which would have an initial cost of $556,000, a 7-year life, and $150,000 salvage value. The increase in net income each year of the equipment's life would be as follows: Year 2 Year 3 103,000 101,000 Year 4 90,000 Year 5 87,000 Year 6 82,000 Year 7 76,000 What is the payback period? Multiple Choice 3.45 years 3.72 years 5.87 years 6.08 years