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2) A company is contemplating the purchase of a machine that would cost $142,790. The machine would provide an annual contribution margin of $47,262.55 each

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2) A company is contemplating the purchase of a machine that would cost $142,790. The machine would provide an annual contribution margin of $47,262.55 each year. The prbposed new machine has an estimated useful life of five years and estimated residual value of $10,000. Required: Determine the accounting rate of return for the potential investment in the new machine

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