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On the first day, the machine can lift 10 kg.
On the second day, the weight it can lift increases by 20%, which would be (10 * 0.20) = 2 kg. So, on the second day, the machine can lift 10 + 2 = 12 kg.
On the third day, the weight it can lift increases by 20%, which would be (12 * 0.20) = 2.4 kg. So, on the third day, the machine can lift 12 + 2.4 = 14.4 kg.
On the fourth day, the weight it can lift increases by 20%, which would be (14.4 * 0.20) = 2.88 kg. So, on the fourth day, the machine can lift 14.4 + 2.88 = 17.28 kg.
On the fifth day, the weight it can lift increases by 20%, which would be (17.28 * 0.20) = 3.456 kg. So, on the fifth day, the machine can lift 17.28 + 3.456 = 20.736 kg.
Rounded to two decimal places, the weight the machine can lift on the fifth day is 20.74 kg.