A company is planning to purchase a new machine that costs $100,000. The machine has an expected useful life of 5 years and a salvage value of $10,000 at the end of its useful life. The company estimates that the machine will generate net cash inflows of $30,000 per year for the next 5 years. The company uses straight-line depreciation method. Calculate the accounting rate of return (ARR) for the machine.