Average Accounting Return You are looking at a three-year project with a projected net income of 2,000
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Average Accounting Return You are looking at a three-year project with a projected net income of
€2,000 in year 1, €4,000 in year 2, and €6,000 in year 3.
The cost is €12,000, which will be depreciated straight-line to zero over the three-year life of the project. What is the average accounting return (AAR)?
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Related Book For
Fundamentals Of Corporate Finance
ISBN: 9780077178239
3rd Edition
Authors: David Hillier, Iain Clacher, Stephen A. Ross
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