Determine Cash Flows Natural Foods Inc. is planning to invest in new manufacturing equipment to make a new garden tool. The new garden tool is expected to generate additional annual sales or 5,000 units at $36 each. The new manufacturing equipment will cost $75,800 and is expected to have a 10-year life and a $5,000 residuslaut Selling expenses related to the new product are expected to be of sales revenue. The cost to manufacture the product Indudes the following on a per-unit baie Direct labor $6.10 Direct materials 20.00 Poned factory overhead-depreciation Variable factory overhead 3.10 Total 330.50 1.40 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 cath authow. Do not round your intermediate calculations but required, round your finalwers to the nearest Natural Foods Inc Net Cash Flows Year! Year 2- Last Year Initial investment Operating cash flows Annual revenues 1,000 Selling expenses 7100 9 eBook Show Me How Net Cash Flows Year! Year 2-9 Last Year Initial Investment Operating cash flows: Annual revenues Selling expenses 1.000 -7,00 Cost to manufacture 21.00 x DO Net operating cash flows 1. X 36.00 X Total for Yeart Total for years 2-operating cash flow) Residual value 5.00 Total for last year For Year 1, subtract the amount to be invested from the operating cash flow (annual revenues less selling expenses less cost to manufacture). For Years 2-10, subtract the selling expenses and the costs to manufacture from the annual revenues, For Year 10 only, add the residual value