(Ent Year 1.... 1,000,000 ecimal pla $ $ Year 2.... 1,500,000 layback Year 3.... $ years Year 4. $ 2,000,000 2,500,000 3,500,000 4,500,000 Year 5.... $ ar pan Year 6. $ s a percent 1. Calculate the payback period of the solar panels. 2. Calculate the ARR of the solar panels. 3. Should Sonoma turn down the solar panel investment or consider it further? Sonoma is considering investing in solar paneling for the roof of its large distribution facility The company uses the payback period and ARR to screen potential investments Company The investment will cost $9 million and have a sb-year useful life and no residual value policy requires a payback period of less than five years and an ARR of at least 10%. Any Because of rising utility costs, the company expects the yearly utility savings to increase over potential investments that do not meet these criteria will be removed from further time, as follows: consideration (Click the icon to view the yearly utility savings.) Read the requirements 1. Calculate the payback period of the solar panels First enter the formula, then calculate the payback period. (Enter amounts in dollars, not milions. Round your answer to two decimal places.) Payback years 2. Calculate the ARR of the solar panels. First enter the formula, then compute the ARR of the solar panels. (Enter amounts in dolars, not millions. Enter your answer as a percent rounded to two decimal places.) Accounting rate of return 2. Calculate the ARR of the solar panels. First enter the formula, then compute the ARR of the solar panels. (Enter amounts in dollars, not millions. Enter your answer as a percent rounded to two decimal Accounting rate of return % 3. Should Sonoma turn down the solar panel investment or consider it further? The payback period five years. The ARR 10%. Therefore, Sonoma should the solar panel investment