Most Company has an opportunity to invest in one of two new projects. Project Y requires a $300,000 investment for new machinery with a five-year life and no salvage value. Project Z requires a $300,000 investment for new machinery with a four-year life and no salvage value. The two projects yield the following predicted annual results. The company uses straight-line depreciation, and cash flows occur evenly throughout each year. (PV of $1. EV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided.) Sales Expenses Direct materials Direct labor Overhead including depreciation Selling and administrative expenses Total expenses Pretax income Income taxes (34%) Net income Project Y Project z $375,000 $300,000 52,500 37,500 75,000 45,000 135,000 135,000 27,000 27,000 289,500 244,500 85,500 55,500 29,070 18,870 $ 56,430 $ 36,630