A company is planning to purchase a machine that will cost $25,800 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? $ 92,000 Sales Costs: Manufacturing Depreciation on machine Selling and administrative expenses Income before taxes Income tax (30) Net income $52,200 4,300 32,000 (88,500) $3,500 (1,050) $ 2, 45e The following relates to a proposed equipment purchase Cost Salvage value Estimated useful life Annual net cash flows Depreciation method $128, see $ 3,200 4 years $ 45,300 Straight-line The annual average investment amount used to calculate the accounting rate of retum is The following relates to a proposed equipment purchase: Cost Salvage value Estimated useful life Annual net cash flows Depreciation method $146,000 $ 5,000 4 years $ 47,100 Straight-line Ignoring income taxes, the annual net income amount used to calculate the accounting rate of return is