Grove Corporation is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in net income of $201,700. The equipment will have an initial cost of $1,201,700 and an 8-year useful life. The salvage value of the equipment is estimated to be $201,700. Groves cost of capital is 11%. (Future Value of $1, Present Value of $1, Future Value Annuity of $1, Present Value Annuity of $1) Note: Use appropriate factor from the PV tables. Required: What is the accounting rate of return? What is the payback period? What is the net present value? What would the net present value be with a 15% cost of capital