Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $487,000 cost with an expected four-year life and a $15,000 salvage value Additional annual information for this new product line follows. (PV of $1. FV of $1. PVA of S1, and FVA of S1) (Use appropriate factor(s) from the tables provided.) Sales of new product $ 1,990,000 Expenses Materials, labor, and overhead (except depreciation) 1,503,000 Depreciation Machinery 110,000 Selling, general, and administrative expenses 165,000 Required: 1. Determine income and net cash flow for each year of this machine's life. 2. Compute this machine's payback period, assuming that cash flows occur evenly throughout each year. 3. Compute net present value for this machine using a discount rate of 7% Required 1 Required 2 Required 3 Compute net present value for this machine using a discount rate of 7%. (Do not round Intermediate calculations, Round your present value factor to 4 decimals and final answers to the nearest whole dollar) Chart Values are Based on: 71% PV Factor Cash Flow Annual cash flow Salvage value Select Chart Present Value of an Annuity of 1 Present Value of 1 Amount X $ 322,000 x $ 15.000 x Present Value $ 0 Net present value