Data Table Annual Net Cash Inflows Toy action figure Sandbox toy Year project project Year 1 $ 317,750 $ 520,000 Year 2 317,750 390,000 Year 3 317,750 300,000 Year 4 317,750 270,000 317,750 40,000 Year 5 $ 1,588,750 $ 1,520,000 Total Toy Time will consider making capital investments only if the payback period of the project is less than 3.5 years and the ARR exceeds 8%. Print Done 5 years, so it Toy Time's initial screening. h. d