A project has an initial cost of $42,000 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 $1,400, $3,600, $4,000, and $4,500 a year for the next four years, respectively. What is the average accounting return?

answers 6.22 percent 64.29 percent 16.07 percent 8.04 percent 32.14 percent