Cullumber Corp. management is considering purchasing a machine that will cost $117,250 and will be depreciated on a straight-line basis over a five-year period. The sales and expenses (excluding depreciation) for the next five years are shown in the following table. The companys tax rate is 34 percent. Year 1 Year 2 Year 3 Year 4 Year 5 Sales $127,450 $182,875 $237,455 $256,440 $266,125 Expenses $140,410 $121,488 $145,289 $149,112 $135,556

Cullumber will accept all projects that provide an accounting rate of return (ARR) of at least 45 percent.

Calculate accounting rate of return. (Round answer to 1 decimal place, e.g. 15.2%.)

Accounting rate of return

enter the Accounting rate of return in percentages rounded to 1 decimal place %