Dalfodil Inc. is planning to invest in manufacturing equipment to make a new garden tool. The new garden tool is expedted to generate additional annual sales of 120,000 units at $9 each The new manufacturing equipment will cost $320,000, have a 10-year We, a residual value of $20,000, and will be depreciated using the straight ine method. Selling expenses relatod to the new product are expected to be 15 % of sales revenue. The cost to manufacture the product includes the following on a per unit basis Direct labor $1.00 Direct materials 3.40 Floed factory overhead-depreciation 0.25 Variable factory overhead 0.35 Total $5.00 a. Determine the net cash flows for the first year of the project, Years 2-9, and for the last year of the project Use the minus sign to indicate cash outflows Years 2-9 Year 1 Last Year Operating cash flows 1,000,000 Annual revenues 1,000,000 1,080,000 162,000 x 162,000 x Selling expenses 162,000 X 570,000 X 570,000 x Cost to manufacture 348,000 348,000 348,000 Net operating cash flows 20,000 100 P Operating cash flows: Annual revenues 1,080,000 1,080,000 1,080,000 Selling expenses 162,000 X 162,000 X 162,000 X Cost to manufacture 570,000 X 570,000 x Net operating cash flows 348,000 348,000 $ 348,000 Initial investment -28,000 X Total for year 1 -28,000 X Total for years 2-9 348,000 Residual value 20,000 $ 368,000 Total for last year b. Assume that the operating cash flows occur evenly throughout the year and that the equipment is purchased on January 1, 20Y1. Determin month, and day. December 2, 20Y1