inflows: Play Life Products is considering producing toy action figures and sandbox toys. The products require different specialized machines, each costing $1 million. Each machine has a five-year life and zero residual value. The two products have different patterns of predicted net cash Click the icon to view the data.) Calculate the sandbox toy project's payback period. If the sandbox toy project had a residual value of $125,000, would the payback period change? Explain and recalculate if necessary. Does this investment pass Play Life's payback period screening rule? Calculate the sandbox toy project's payback period. First, enter the formula, then calculate the payback period. (Enter amounts in dollars, not millions. Round your answer to two decimal places. Abbreviation used: Amt. = Amount.) + Amt. to complete recovery in next year Projected net cash inflow in next year Payback Full years 2 2.39 years Enter any number in the edit fields and then click Check Answer 3 parts Clear All Check Answer remaining e data. - X i Data Table oject's ulate if O, woul rule? roject's Annual Net Cash Inflows Year answer calcula Amount.) Toy action Sandbox toy figure project project $ 321,225 $ 540,000 it. to com ) 1 2 321,225 390,000 3 330,000 4 321,225 321,225 321,225 230,000 30,000 5 $ 1,606,125 $ 1,520,000 Total Play Life 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