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Distribution Center Distribution Center Internet Tracking Internet Tracking Expansion Income from Expansion Net Technology Income from Operations Net Cash Flows Technology Year Operations Cash
Distribution Center Distribution Center Internet Tracking Internet Tracking Expansion Income from Expansion Net Technology Income from Operations Net Cash Flows Technology Year Operations Cash Flows 1 $ 66,000 $ 226,000 $50,000 $ 150,000 2 66,000 226,000 50,000 150,000 3 66,000 226,000 50,000 150,000 4 66,000 226,000 50,000 150,000 5 66,000 226,000 50,000 150,000 Total $330,000 $1,130,000 $250,000 $750,000 The Distribution Center Expansion requires an investment of $800,000 while the Internet Tracking Technology requires an investment of $500,000. Straight-line depreciation will be used, and no residual value is expected for either project. Required: 1. Compute the average rate of return for each investment. Round to one decimal place. Distribution Center Expansion Internet Tracking Technology Average Rate of Return X 96 X%
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