Exercise 10-13A (Static) Determining the payback period with uneven cash flows LO 10-4 Currie Company has an opportunity to purchase a forklift to use in its heavy equipment rental business. The forklift would be leased on an annual basis during its first two years of operation. Thereafter, it would be leased to the general public on demand. Currie would sell it at the end of the fifth year of its useful life. The expected cash inflows and outflows follow. Year Nature of Item Cash Inflow Cash Outflow Year 1 Purchase price $ 86,000 Year 1 Revenue $ 30,000 Year 2 Revenue 40,000 Year 3 Revenue 28,000 Year 3 Major overhaul 12,000 Year 4 Revenue 20,000 Year 5 Revenue 14,400 Year 5 Salvage value 9,600