Exercise 24-5 (Algo) Accounting rate of return LO P2 Information for two alternative projects involving machinery investments follows: Project Project 2 Initial investment $ (137,000) $ (197,000) Salvage value 0 17,000 Annual income 16, 440 15,500 a. Compute accounting rate of return for each project b. Based on accounting rate of return, which project is preferred? Complete this question by entering your answers in the tabs below. maquired A Required Compute accounting rate of return for each project Nameras Accounting Rate of Return Denominator Accounting of Projects Deo2 Required> Exercise 24-5 (Algo) Accounting rate of return LO P2 Information for two alternative projects involving machinery investments follows: Project 1 Project 2 Initial investment $ (137,000) $ (107, 100) Salvage value 17.000 Annual income 15,500 16,440 . Compute accounting rate of return for each project b. Based on accounting rate of return, which project is preferred? Complete this question by entering your answers in the tabs below. Required Required Based on accounting rate of return, which project is preferred? Based on accounting rate of retum is pretened