Business, 14.12.2019 00:31 Serenitybella
The following data concerns a proposed equipment purchase: cost $144,000 salvage value $4,000 estimated useful life 4 years annual net cash flows $46,100 depreciation method straight-line assuming that net cash flows are received evenly throughout the year, the accounting rate of return is:
a. 7.7%.
b. 15.0%.
c. 5.0%.
d. 62.3%.
e. 32.0%.
Answers: 1
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