Required information The following information applies to the questions displayed below. Most Company has an opportunity to invest in one of two new projects. Project Y requires a $330,000 investment for new machinery with a five-year life and no salveage value. Project Z requires a $330,000 investment for new machinery with a four-year life and no salvage value. The two projects yleld 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 FVA of $1 (Use appropriate factor(s) from the tables provided.) Project Y Project z $365,000 $292,000 Sales Expenses Direct materials Direct labor Overhead including depreciation Selling and administrative expenses Total expenses Pretax income Income taxes (324) 36,500 43,800 131,400 26,000 237,700 54,300 51,100 73,000 131,400 26,000 281,500 83,500 26,720 17,376 36,924 $ 56,780 Net income Required: 1. Compute each project's annual expected net cash flows Project Z Project Y