Quary company is considering an investment in machinery with the following information. Initial investment $ 245,000 materials, labor, and overhead (except depreciation) $ 55,125 useful life 9 years depreciation-machinery 25,000 salvage value $ 20,000 selling, general, and administrative expenses 6,125 expected sales per year12,250 units selling price per unit$ 10
(a) Compute the investments annual income and annual net cash flow.