Consider how Steinback Valley River Park Lodge could use capital budgeting to decide whether the $$11,000,000$ River Park

Lodge expansion would be a good investment. Assume Steinback Valley's managers developed the following estimates

concerning the expansion:

$($Click the icon to view the estimates.$)$

Assume that Steinback Valley uses the straight$-$line depreciation method and expects the lodge expansion to have a residu

value of $$1,000,000$ at the end of its ten$-$year life. The average annual operating income from the expansion is $$1,517,925$

and the depreciation has been calculated as $$1,000,000.$

Calculate the ARR. Round to two decimal places.

Data table