Galactic Inc. is considering an investment in new equipment that will be used to manufacture a smartphone. The phone is expected to generate additional annual sales of 4,100 units at $193 per unit. The equipment has a cost of $343,200, residual value of $25,800, and an eight-year life. The equipment can only be used to manufacture the phone. The cost to manufacture the phone follows:

Cost per unit:
	Direct labor	$33.00
	Direct materials	129.00
	Factory overhead (including depreciation)	22.00
		Total cost per unit	$184.00

Determine the average rate of return on the equipment. If required, round to the nearest whole percent. fill in the blank 1 %