Problem 24-1A Computation of payback period, accounting rate of return, and net present value LO P2, P3 Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new mach a $483,000 cost with an expected four-year life and a $11,000 salvage value. All sales are for cash, and all costs are out-of-pocke except for depreciation on the new machine. Additional information includes the following. (PV of $1, FV of $1, PVA of $1, and FVA $1) (Use appropriate factor(s) from the tables provided.) Expected annual sales of new product Expected annual costs of new product $1,870,000 Direct materials Direct labor Overhead (excluding straight-line depreciation on new machine) Selling and administrative expenses Income taxes 495,000 677,000 335,000 152,000 30g Required: 1. Compute straight-line depreciation for each year of this new machine's life 2. Determine expected net income and net cash flow for each year of this machine's life 3. Compute this machine's payback period, assuming that cash flows occur evenly throughout each year 4. Compute this machine's accounting rate of return, assuming that income is earned evenly throughout each year 5. Compute the net present value for this machine using a discount rate of 6% and assuming that cash flows occur at each year-e (Hint Salvage value is a cash inflow at the end of the asset's life.) Complete this question by entering your answers in the tabs below Required 1Required 2 Required 3 Required 4 Required 5 Compute straight-line depreciation for each year of this new machine's life traight-line preciatio 118,000