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 inflows.

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Calculate the toy action figure project's ARR. If the toy action figure project had a residual value of $$225,000,$ would the ARR change? Explain and recalculate if necessary. Does this investment pass Play Life's ARR screening rule?

First, enter the formula, then compute the ARR of the toy action figure project assuming there is no residual value. $($Ente decimal places.$)$

If the toy action figure project had a residual value of $$225,000,$ would the ARR change?

If the toy action figure project had a $$225,000$ residual value, the ARR change.

The residual value would cause the yearly $$ to decrease, which will cause the average annual o Compute the ARR of the toy action figure project with a residual value of $$225,000.($Enter your answer as a percent rou The ARR of the toy action figure project with a residual value of $$225,000$ is $\%.$

Data table

$\backslash$table$[[$Year$,$Annual Net Cash Inflows$],[\backslash$table$[[$Toy action figure$],[$project$]],\backslash$table$[[$Sandbox toy$],[$project$]]],[$Year $1...........,336,700,510,000],[$Year $2....,336,700,375,000],[$Year $3....,336,700,310,000],[$Year $4...,336,700,270,000],[$Year $5.,336,700,30,000],[$Total$,1,683,500,1,495,000$