Question
Harvard Manufacturing Company is considering the following investment proposal: Initial investment: Depreciable assets (straight-line) $40,800 Working capital Operations (per year for 4 years) 3,400
Harvard Manufacturing Company is considering the following investment proposal: Initial investment: Depreciable assets (straight-line) $40,800 Working capital Operations (per year for 4 years) 3,400 Cash receipts $30,000 Cash expenditures 17,000 Disinvestment Salvage value of equipment $3,400 Recovery of working capital 1,700 The investment's accounting rate of return (rounded to two decimal points) on the original investment is
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Using Financial Accounting Information The Alternative to Debits and Credits
Authors: Gary A. Porter, Curtis L. Norton
8th edition
1111534918, 978-1111534912
