Acompany buys a machine for $180,000 that has an expected life of nine years and no salvage

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Acompany buys a machine for $180,000 that has an expected life of nine years and no salvage value. The company expects an annual net income (after taxes of 30%) of $8,550. What is the accounting rate of return?

a. 4.75%

b. 42.75%

c. 2.85%

d. 9.50%

e. 6.65%

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Fundamental Accounting Principles Volume 2

ISBN: 9780077716660

21st Edition

Authors: John Wild, Ken Shaw, Barbara Chiappetta

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Question Posted: Jul 20, 2024 04:02 AM

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Acompany buys a machine for $180,000 that has an expected life of nine years and no salvage

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Fundamental Accounting Principles Volume 2

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