Interstate Manufacturing is considering either overhauling an old machine or replacing it with a new machine. Information about the two alternatives follows. Management requires a 10% rate of return on its Investments. (PV of $1. FV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided.) Alternative 1: Keep the old machine and have it overhauled. This requires an initial Investment of $143,000 and results in $40,000 of net cash flows in each of the next five years. After five years, it can be sold for a $24,000 salvage value. Alternative 2: Sell the old machine for $33,000 and buy a new one. The new machine requires an initial investment of $302,000 and can be sold for a $6,000 salvage value in five years. It would yleld cost savings and higher sales, resulting in net cash flows of $57,000 in each of the next five years. Required: 1. Determine the net present value of alternative 1 2. Determine the net present value of alternative 2. 3. Which alternative should management select based on net present value? OOK Required 1 Required 2 Required 3 ht Determine the net present value of alternative 1. (Do not round Intermediate calculations. Round your present value factor to 4 decimals and final answers to the nearest whole dollar) Not Cash Flows Present Value Factors at 10% Present Value of Cash Flows Year 1-5 Salvage value (year 5) Totais Initial investment Not present value Determine the net present value of alternative 2. (Negative net present values should be indicated with a minus sign. Do not round intermediate calculations. Round your present value factor to 4 decimals and final answers to the nearest whole dollar) Net Cash Flows Present Value Factors at 10% Present Value of Cash Flows 1.0000 Year 1-5 Salvage value-new machine Salvage value-old machine Totals Initial investment Net present value Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Which alternative should management select based on net present value? Management should select