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Dobson Corporation is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in net income of $59,000. The equipment will have an initial cost of $505,000 and an seven year useful life with no expected salvage value. The hurdle rate is 13%. Required: a. Calculate the accounting rate of return. b. Calculate the payback period. Complete this question by entering your answers in the tabs below. Calculate the accounting rate of return. Note: Round your answer to 2 decimal places. Calculate the payback period. Note: Round your answer to one decimal place