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A company is considering purchasing a machine for $30,000. The machine will generate an after-tax net income of $3,800 per year. Annual depreciation expense would
A company is considering purchasing a machine for $30,000. The machine will generate an after-tax net income of $3,800 per year. Annual depreciation expense would be $3,300. What is the approximate accounting rate of return? |
25.33%
9.00%
12.67%
23.67%
13.16%
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