A company is planning to purchase a machine that will cost $29,400 with a six-year life and no salvage value. The company uses straight-line depreciation. The company expects to sell the machine's output of 3,000 units evenly throughout each year. A projected income statement for each year of the asset's life appears below. What is the accounting rate of return for this machine?

Sales				$	97,000
Costs:
Manufacturing	$	50,400
Depreciation on machine		4,900
Selling and administrative expenses		37,000			(92,300	)
Income before taxes				$	4,700
Income tax (35%)					(1,645	)
Net income				$	3,055