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JD Corporation invested in project with the initial cost of RM100,000. This investment will be depreciated by RM25,000 a year over its 4 years' life.
JD Corporation invested in project with the initial cost of RM100,000. This investment will be depreciated by RM25,000 a year over its 4 years' life. The net income is given as follows:
Year Net Income
1 RM7600
2 RM8000
3 RM9090
4 RM7700
What is the average accounting return (AAR) on this investment?
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