Toy Universe Products is considering producing toy action figures and sandbox toys. The products require different specialized machines, each costing $1 milion. Each machine has a five-year life and zero residual value. The two products have Kaferent patterns of predicted net cash infows (Click the icon to view the data) Calculate the toy action figure projects payback penod. If the toy action figure project had a residual value of $125.000 would the payback period change? Explain and recalculate if necessary Does this investment pass Toy Universe's payback period screening rule? Calmulate the toy action figure projects payback penod First enter the formula, then calculate the payback period. (Enter amounts in dollars, not milions Round your answer to two decimal places) Payback period roject's payback period. Culate the payback period Data table Annual Net Cash Inflows Toy action figure Sandbox toy Year project project Year 1. $ 321,225 $ 550,000 Year 2. 321,225 390,000 Year 3. 321,225 325,000 Year 4. 321,225 280,000 321,225 20,000 Year 5. $ 1,606,125 $ 1,565,000 Total Toy Universe 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