Average Rate of Retum-New Product Hana Inc. is considering an investment in new equipment that will be used to manufacture a smartphone. The phone is expected to generate additional annual sales of 3,600 units at $300 per unit. The equipment has a cost of $401,800, residual value of $30,200, and an 8-year life. The equipment can only be used to manufacture the phone. The cost to manufacture the phone follows: Cost per unit: Direct labor $50.00 Direct materials 194.00 Factory overhead (including depreciation) 33.20 Total cost per unit $277.20 Determine the average rate of return on the equipment. If required, round to the nearest whole percent