Harwell Printing Co. is considering the purchase of new electronic printing equipment. It would allow Harwell to increase its net income by $52,734 per year. Other information about this proposed project follows:

Initial Investment	282,000
Useful life	5 years
Salvage Value	97,000

Assume straight line depreciation method is used.

Required:

1. Calculate the accounting rate of return for Harwell. (Round your percentage answer to 1 decimal place.)

2. Calculate the payback period for Harwell. (Round your answer to 2 decimal places.)