Toy Time Products is considering producing toy action figures and sandbox toys. The products require different specialized mochines, each costing $1 million. Each machine has a five-year life and zero residual value. The two products have different pattems of predicted not cash infiows. (Click the icon to viow the data.) Calculate the toy action figure project's ARR. If the toy action figure project had a residual value of $125,000, would the ARR change? Explain and recalculate if necessary, Does this imvestment pass Toy Time's ARR screening rule? First, enter the formula, then compute the ARR of the toy action figure project. (Enter amounts in dollars, not millons. Enter your answer as a percent coundid to two decimal places.) Data table Toy Time will consider making capital investments only if the payback period of the project is less than 3.5 years and the ARR exceeds 8%