ABC Ltd plan to purchase a grader for their company. The grader cost R1500000 and they hope to sell it for R200000 after 5 years. The company uses the Straight Line Depreciation method. They estimate the following returns: Determine the Accounting Rate of return. Year 1 2 3 4 5 Profit R 600000 450000 800000 257500 850000 R Average profit Annual depreciation Average annual net profit Average investment % Accounting Rate of Return