A company is planning to purchase a machine that will cost $119,000, have a seven-year life, and be depreciated using the straight-line method with no salvage value. The company expects to sell the machine's output of 4,000 units evenly throughout each year. A projected income statement for each year of the asset's life appears below:

Sales		$203,000
Costs:
Manufacturing	$89,000
Depreciation on machine	19,000
Selling and administrative expenses	61,000	(169,000)
Income before taxes		$ 34,000
Income tax (50%)		( 17,000)
Net income		$ 17,000

What is the accounting rate of return for this machine?

a.	28.57%
b.	89.47%
c.	25.38%
d.	12.69%
e.	14.29%