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A project has an initial cost of $38,000 and a four-year life. The company uses straight-line depreciation to a book value of zero over the
A project has an initial cost of $38,000 and a four-year life. The company uses straight-line depreciation to a book value of zero over the life of the project. The projected net income from the project is $1,000, $1,200, $1,500, and $1,700 a year for the next four years, respectively.
What is the average accounting return?
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