Balloons By Sunset (BBS) is considering the purchase of two new hot air balloons so that it can expand its desert sunset tours. Various information about the proposed investment follows: Initial investment (for two hot air balloons) 436,000 Useful life Salvage value Annual net income generated BBS's cost of capital 10 years $ 56,000 37,060 11% Assume straight line depreciation method is used. Required Help BBS evaluate this project by calculating each of the following: 1. Accounting rate of return. (Round your answer to 1 decimal place.) Accounting Rate of Return 1%