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Maxine Company is considering buying a machine. The machine costs $200,000 and will be depreciated (straight-line) over 5 years with no salvage value. The net

Maxine Company is considering buying a machine. The machine costs $200,000 and will be depreciated (straight-line) over 5 years with no salvage value. The net cash inflows generated by the machine are expected to be $60,000 each year for 5 years. Using this information, compute the unadjusted rate of return for the printing press.

A. 20% unadjusted rate of return

B. 40% unadjusted rate of return

C. 30% unadjusted rate of return

D. 10% unadjusted rate of return

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