Diane Manufacturing Company is considering investing $500,000 in new equipment with an estimated useful life of 10 years and no salvage value. The equipment is expected to produce $320,000 in cash inflows and $200,000 in cash outflows annually. The company uses straight-line depreciation, and has a 30% tax rate. (ALT Exercise A from text publisher)

(Please enter answer with ONLY numbers - no punctuation, no$ signs,no spacing. For answers with percentage answers,conver the percentage to the following format:.598)

Calculate the Accounting Rate of Return:

Accounting rate of return =Annual after-tax net income / Annual average investment

Diane Manufacturing Company is considering investing $500,000 in new equipment with an estimated useful life of 10 years and no salvage value. The equipment is expected to produce $320,000 in cash inflows and $200,000 in cash outflows annually. The company uses straight-line depreciation, and has a 30% tax rate. (ALT Exercise A from text publisher) (Please enter answer with ONLY numbers - no punctuation, no $ signs, no spacing. For answers with percentage answers, conver the percentage to the following format: .598) Calculate the Accounting Rate of Return: Accounting rate of return = Annual after-tax net income / Annual average investment