Information for two alternative projects involving machinery investments follows. Project 1 requires an initial investment of $220,000. Project 2 requires an initial investment of $140,000. Project 1 $ 156,000 Project 2 $ 136,000 Annual Amounts Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation-Machinery Selling, general, and administrative expenses Income 79,000 34,000 22,000 $ 21,000 46,000 32,000 34,000 $ 24,000 (a) Compute each project's annual net cash flow. (b) Compute payback period for each investment. Complete this question by entering your answers in the tabs below. Required A Required B Compute each project's annual net cash flow. Project 1 Project 2 Annual Amounts Income Cash Flow Income Cash Flow $ 156,000 $ 156,000 $ 136,000 $ 136,000 Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation Machinery Selling, general, and administrative expenses 79,000 79,000 46,000 46,000 34,000 32,000 32,000 22,000 22,000 34,000 34,000 Income $ 21,000 $ 24,000 Net cash flow $ 55,000 $ 24,000 Required A Required B Information for two alternative projects involving machinery investments follows. Project 1 requires an initial investment of $220,000. Project 2 requires an initial investment of $140,000. Project 1 $ 156,000 Project 2 $ 136,000 Annual Amounts Sales of new product Expenses Materials, labor, and overhead (except depreciation) DepreciationMachinery Selling, general, and administrative expenses Income 79,000 34,000 22,000 $ 21,000 46,000 32,000 34,000 $ 24,000 (a) Compute each project's annual net cash flow. (b) Compute payback period for each investment. Complete this question by entering your answers in the tabs below. Required A Required B Compute payback period for each investment. Numerator: Payback Period Denominator: Annual net cash flow Payback period Initial investment $ 220,000 $ 140,000 / Project 1 Project 2 0 / 0