information for two alternative projects involving machinery investments follows. project 1 requires an initial investment of $265,000. project 2 requires an initial investment of $189,000. annual amounts project 1 project 2 sales of new product $ 152,000 $ 132,000 expenses materials, labor, and overhead (except depreciation) 78,000 45,000 depreciation—machinery 33,000 31,000 selling, general, and administrative expenses 21,000 33,000 income $ 20,000 $ 23,000 (a) compute each project’s annual net cash flow. (b) compute payback period for each investment.