3 You're trying to determine whether or not to expand your business by building a new manufacturing plant. The plant has an installation cost of $14 million, which will be depreciated straight-line to zero over its four-year life. If the plant has projected net income of $1,525,000, $1,750,000, $1,490,000, and $1,100,000 over these four years, what is the project's average accounting return (AAR)? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Book Average accounting return % A firm evaluates all of its projects by applying the IRR rule. Year Cash Flow o 1 2 $140,000 48,000 59,000 75,000 WN a. What is the project's IRR? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b.If the required return is 8 percent, should the firm accept the project? a. Internal rate of return b. Project acceptance