Investment A	Investment B
Investment	$ 680,000	$ 120,000
Useful life	10 years	10 years
Estimated annual net cash inflows for 8 years	$ 150,000	$ 27,000
Residual value	$ 30,000	$0
Depreciation method	Straightline	Straightline
Required rate of return	14%	10%

What is the accounting rate of return for Investment A?

Group of answer choices

22.1%

12.1%

14%

12.5%