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Oakland Shop is considering the purchase of a used printing press for $9,600. The printing press would generate a net cash flow of $4,800 per
Oakland Shop is considering the purchase of a used printing press for $9,600. The printing press would generate a net cash flow of $4,800 per year for three years. At the end of three years the press would have no salvage value. The company uses the straight-line method of depreciation. What is the accounting rate of return, using the original investment in the press for calculations?
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