A new project has an initial cost of $178,000. The equipment will be depreciated on a straight-line basis to a book value of $69,000 at the end of the four-year life of the project. The projected net income each year is $15,500, $18,200, $23,600, and $15,400, respectively. What is the average accounting return?

Multiple Choice

• 15.77%

• 18.09%

• 8.17%

• 14.72%

• 20.42%