Intel is considering a $1,200,000 investment in new manufacturing equipment. The project will depreciate at a rate of 20% annually, leaving book values of $960,000, $720,000, $480,000, $240,000, and $0 at the end of each year. Expected annual cash flows are $250,000, $300,000, $200,000, $150,000, and $100,000. The profits are projected at $50,000, $100,000, $0, $-50,000, and $-100,000, resulting in ARR percentages of 4.17%, 8.33%, 0%, -4.17%, and -8.33%. The average profit is $0, with an average investment of $600,000, yielding an average ARR of 0%. The cumulative cash flows indicate a payback period of 5.5 years. The NPV, discounted at 10%, is calculated to be $25,000.

Requirements:

1. Determine the ARR, payback period, and NPV for the investment.
2. Discuss the project's potential financial benefits and drawbacks.
3. Provide a final recommendation on the investment decision.