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A project requires a $2,930,000 initial investment for new machinery with a five-year life and a salvage value of $326,000. The project is expected to yield annual income of $260,480 per year and net cash flows of $713,000 per year for the next five years. The projects accounting rate of return is: Multiple Choice

24.9%.

4.0%.

16.0%

. 20.0%

. 48.1%.