Most Company has an opportunity to invest in one of two new projects. Project Y requires a $315,000 investment for new machinery with a six-year life and no salvage value. Project Z requires a $315,000 investment for new machinery with a five-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, FV of $1, PVA of $1, and FVA of $1 ) (Use appropriate factor(s) from the tables provided.) Project Y Project Z $385,000 $308,000 Sales Expenses Direct materials Direct labor Overhead including depreciation Selling and administrative expenses Total expenses Pretax income Income taxes (38%) Net income 53,900 38,500 77,000 46,200 138,600 138,600 28,000 27,000 297,500 250, 300 87,500 57,700 33,250 21,926 $ 54,250 $ 35,774 Problem 24-2A Part 1 Required: 1. Compute each project's annual expected net cash flows. > Answer is not complete. Project Y 54,250 $ Project z 35,774 Net income Depreciation expense Expected net cash flows Project Y Project Z $385,000 $308,000 Sales Expenses Direct materials Direct labor Overhead including depreciation Selling and administrative expenses Total expenses Pretax income Income taxes (38%) Net income 53,900 77,000 138, 600 28,000 297,500 87,500 33, 250 $ 54,250 38,500 46,200 138,600 27,000 250, 300 57,700 21,926 $ 35,774 Problem 24-2A Part 1 Required: 1. Compute each project's annual expected net cash flows. Answer is not complete. Project Y 54,250 $ Project Z 35,774 Net income $ Depreciation expense Expected net cash flows X