Sign Homework: Chapter 12 Required Homework Save HW Score: 58.97%, 5.9 of 10 pts Accountin Score: 0.17 of 1 pt g S12-5 (similar to) Question Help ESTERNI Tocane Toyland Products is considering producing toy action figures and sandbox toys. The products requre different specialized machines, each costing $1 million. Each machine has a five-year life and zero residual value. The two products have dfferent patterns of predicted net cash inflows EEB (Click the icon to view the data) Celoulate the sandbox toy projects ARR. If the sandbox toy project had a residual value of $175,000, would the ARR change? Explain and recalculate if necessary A UNIVERSITY Does this investment pass Toyland's ARR screening nule? Study Modules First, enter the formula,then compute the ARR of the sandbox toy project. (Enter amounts in dollars, not milions. Eniter your answer as a percent rounded to two decimal places) Accounting work Average annual operating income from asset 314300 Intial investment ulz/Test 31.43 |% Incorrect 43/2) Enter any number in the edit fields and then click Check Answer 4 Pemang Check Answer Clear All Hw 4 of 8 (8 complete) g toy action fiaures and sandbox tos, The products require diffeent secieliz dual Data Table nge? Expla If R scre Annual Net Cash Inflows our answer ARR Sandbox toy Toy action Year figure project project 314,300 S 550,000 340,000 320,000 260,000 25,000 S 1,571,500 S 1.495,000 om as 314,300 314,300 314,300 314,300 3. 5. Total Toyland will consider making capital investments only if the payback period of the project is less than 3.5 years and the ARR exceeds 896. Print Done d then Clear All Homework: Chapter 12 Required Homework Score: 0.17 of 1 pt &S12-5 (similar to Hw Score: 59.73%, 5.97 of 10 pt machine has a five-year life and zero residual value. The two products have different patterms of predicted net cash inflows. EEB (Cliock the lcon to view the data) Does this investment pass Toyland's ARR screening rule? First, enter the formula, then compute the ARR of the sandbox toy project. (Enter amounts in dollars, not millions. Enter your answer as a percent rounded to two - rate of return -| 31,43 |% ial Data Table nge? Explain SC Annual Net Cash Inflows our answer a Toy action Sandbox toy Year figure project project 314,300 s 550,000 340,000 320,000 260,000 25,000 $1,571,500 S 1,495,000 n as 314,300 314,300 314,300 314,300 4. 5. Total Toyland 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