Mosaic Tile Company is considering an investment in new equipment costing $860,000. The equipment will be depreciated on a straight - line basis over a five - year life and is expected to have a residual value of $62,000. The equipment is expected to generate net cash inflows of $1,000,000 in total during the five - year life. What is the accounting rate of return associated with the equipment investment? (Round your answer to two decimal places.) O A 12.39% O B. 44.35% O C. 8.76% OD. 9.33%