Find the accounting rate of return on investment, Accounting Basics

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Find the accounting rate of return on investment

A company projects annual cash inflows of $85,000 each year for the next five years if it invests $300,000 in new equipment. The equipment has a five-year life and an estimated salvage value of $75,000. What is the accounting rate of return on this investment?

a) 28.3%

b) 13.3%

c) 15%

d) 43.3%

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Accounting Basics: Find the accounting rate of return on investment

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Accounting Basics: Find the accounting rate of return on investment

Reference No:- TGS081545

Have a Question? (oR Write a Review)

Recent Questions Asked Accounting Basics

Q : Three most important advancements in wireless technologies

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Request for Solution File

Ask an Expert for Answer!!

Accounting Basics: Find the accounting rate of return on investment

Reference No:- TGS081545

Recent Questions Asked Accounting Basics

Q : Three most important advancements in wireless technologies

Q : Determine the payback period and unadjusted rate of return

Q : Compute the approximate internal rate of return

Q : Conduct a ten-day simulation of the business

Q : Find the accounting rate of return on investment

Q : Createtoddler-a static method that returns

Q : Describe abo and rh blood groups

Q : What is the cost of the land that should be recorded

Q : Proprietorship or a c-corporation

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