factory company is plannng to add a new product ... Your question has been answered! Rate it below. Let us know if you got a helpful answer. Question Factory Company is plannng to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $480,000 cost with an expected four year life and a $20,000 salvage value. All sales are for cash, and all costs are out of pocket, exept for depreciation on the new machine. Additional information includes the following: Expected Annual Sales of New Product $1,840,000 Expected Annual Costs of New Product Direct Materials $480,000 Direct Labor $672,000 Overhead (excluding straight line depreciation on new machine) $336,000 Selling and Administrative Expenses $160,000 Income Taxes 30% 1. determine expected net income and net cash flow for each year of this machines life.(round to the nearest dollar)