Forte Products is considering producing MP3 players and digital video recorders (DVRs). The products require different specialized machines, each costing $1.2 million. Each machine has a five-year life and zero residual value. The two products have different patterns of predicted net cash inflows: E(Click the icon to view the data.) Calculate the DVR project's payback period. If the DVR project had a residual value of $200,000, would the payback period change? Explain and recalculate if necessary. Does this investment pass Forte's payback period screening rule? Calculate the DVR project's payback period First enter the formula, then calculate the payback period. (Round your answer to two decimal places.) Full years Amount to complete recovery in next year Projected cash inflow in next year / )= Payback + ( years -X Data Table Annual Net Cash Inflows MP3 Players Year DVRS 540,000 1 400,175 380,000 2 400,175 3 400,175 300,000 275,000 4 400,175 400,175 25,000 5 2,000,875 $ 1,520,000 Total Forte will consider making capital investments only if the payback period of the project is less than 3.5 years and if the ARR exceeds 8% Print Done