Micro Tek Inc. is considering an investment in new equipment that will be used to manufacture a smartphone. The phone is expected to generate additional annual sales of 4,700 units at $319 per unit. The equipment has a cost of $393,400, residual value of $29,600, and an eight-year life. The equipment can only be used to manufacture the phone. The cost to manufacture the phone follows: Cost per unit: Direct labor $55.00 Direct materials 215.00 Factory overhead (including depreciation) 36.85 Total cost per unit $306.85 Determine the average rate of return on the equipment. If required, round to the nearest whole percent %