Information for two alternative projects involving machinery investments follows. Project 1 requires an initial investment of $133,700. Project 2 requires an initial investment of $100,800. Assume the company requires a 10% rate of return on its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Annual Amounts Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation-Machinery Selling, general, and administrative expenses Income Project 1 $ 108,900 Project 2 $ 85,800 35,840 20,160 22,400 72,800 19,100 8,960 $ 8,040 $ 7,400 Compute the net present value of each potential investment. Use 7 years for Project 1 and 5 years for Project 2. (Negative net present values should be indicated with a minus sign. Round your present value factor to 4 decimals. Round your answers to the nearest whole dollar.) Years 1-7 Answer is complete but not entirely correct. Project 1 Net Cash Flows x Present Value of Annuity at 10% $ 27,140 x 0.5132 x Initial investment Net present value Years 1-5 Present Value of Net Cash Flows 13,928 (133,700) ( $ (119,772) Project 2 Net Cash Flows Present Value of x Present Value of Net Cash Annuity at Flows 10% $ 27,560 X 0.6209 $ 17,112 Initial investment Net present value (100,800) (83,688)