Arrowhead Inc. is considering an investment in new equipment that will be used to manufacture a mobile communications product. T product is expected to generate additional annual sales of 4,600 units at $190.00 per unit. The equipment has a cost of $470,600, residual value of $35,400, and an 8-year life. The equipment only can be used to manufacture the product. The cost to manufacture product is shown next. Cost per unit: Direct labor $32.00 Direct materials 124.00 Factory overhead (including depreciation) 20.80 Total cost per unit $176.80 Determine the average rate of return on the equipment