Multiple Choice

• $65,350

• $63,700

• $32,675

• $67,000

• $42,650

MC Qu. 98 The following data concerns... The following data concerns a proposed equipment purchase: Cost Salvage value Estimated useful life Annual net cash flows Depreciation method $130,700 $ 3,300 4years $ 45,400 Straight-line The annual average investment amount used to calculate the accounting rate of return is