C Average Rate of Return Method, Net Present Value Method, and Analysis for a service company The capital investment committee of Arches Landscaping Company is considering two capital investments. The estimated Income from operations and net cash flows from each investment are as follows: Front-End Loader Greenhouse Year Income from Operations $59,400 Net Cash Flow Income from Operations Net Cash Flow 1 $194,000 $125,000 $310,000 2 59,400 194,000 95,000 262,000 3 59,400 194,000 48,000 184,000 4 126,000 59,400 59,400 $297,000 194,000 194,000 5 21,000 8,000 U.558 0.386 0.322 0.247 0.162 Required: 1a. Compute the average rate of return for each investment. If required, round your answer to one decimal place. Average Rate of Return Front-End Loader 44% Greenhouse