FUNDAMENTALS OF OIL & GAS ACCOUNTING 22. Frank Oil Corporation is considering two alternatives for the installation of production equipment on the Panther Well in the Odessa West field. Alpha costs $275,000 and Beta costs $350,000. The estimated net income generated from each is below: Net Income Net Income Year Alpha Beta 1 $25,000 $50,000 2. 25,000 50,000 3 25,000 50,000 4 25,000 50,000 5 25,000 50,000 6 25,000 30,000 7 25,000 30,000 8 25,000 30,000 9 25,000 30,000 10 25,000 30,000 11 25,000 15,000 25,000 15,000 13 25,000 15,000 14 25,000 15,000 15,000 15 25,000 $475,000 Total $375,000 12 REQUIRED: Using accounting rate of return, determine which alternative Frank should choose