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 $325,000 investment for new machinery with a six-year life and no salvage value, Project Z requires a $325,000 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.) Sales Expenses Direct materials Direct labor Overhead including depreciation Selling and administrative expenses Total expenses Pretax income Income taxes (288) Net income Project Y Project $370,000 $296,000 51,800 37,000 74,000 44,400 133,200 133,200 26,000 26,000 285,000 240,600 85,000 55,400 23,800 15,512 $ 61,200 $ 39,888 2. Determine each project's payback period. Payback Period Choose Numerator Choose Denominator: Payback Period Payback period 0 Project Project 2 0 3. Compute each project's accounting rate of return. Accounting Rate of Return 1 Choose Denominator Choose Numeratori Accounting Rate of Return Accounting rate of return 0 0 Project Y Project Z 4. Determine each project's net present value using 8% as the discount rate. Assume that cash flows occur at each year-end. (Round your intermediate calculations.) ProjectY Chart values are based on: Select Chart Amount py Factor Present Value $ 0 Net present value Project 2 Chart values are based on: ns Select Chart Amount X PV Factor = Present Value $ 0 Net present value