Investment Projected After-Tax Benefits per Year Year 1 Year 2 Year 3 Year 4 Years Year 6 Year 7 Year Year Year 10 $2.000 $2,000 $2,000 $2,000 $2.000 $2,000 $2,000 $2,000 $2,000 $2.000 Investment Projected After Tax Benefits per Year Year 1 Year 2 Years Year 4 Year 5 Year You $4,000 $4,000 $3,000 $3,000 $2,000 $2,000 $2,000 What are the Average Annual Rates of Return of each investment? Remember on Jan 1 of Year 1, the value of the investment is the initial cost. You must remove annual depreciation to get the value on Dec 31. Jan 1 of Year 2 is the same as the value on Dec 31 of the year prior and so on. Round to the nearest dollar for the table and nearest tenth for the percentage. Annual Depreciation for investment 4 = $ 1,000.00 Annual Depreciation for Investment B = $2,000.00 Investment A cost= $12,000.00 Investment B Costa $15,000.00 After- Value Average After- Average Tax Value Dec Annual Tax Value Value Annual Benefits Jan 1 31 Value Benefits Jan 1 Dec 31 Value Year 1 $2000 $12000 Year 1 $4000 $15.000 Year 2 $2000 Year 2 $400D Year 3 $2000 Year 3 $3000 Year 4 $2000 Year 4 $3000 Year 5 $2000 Year 5 $ 2000 $2000 Year 6 Year 6 $ 2000 $2000 Year 7 Year 7 $2000 Year 8 $2000 | $2857 Average: Year 9 $2000 Average Annual Rate of Return: % Year 10 $2000 Which investment would TOM's choose? $2000 Average: Average Annual Rate of Return: % What is the Equivalent Annual Cost of each investment to TOM's Tomatoes and Herbs, LLC? Investment A: Investment B