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One division of the Marvin Educational Enterprises has depreciable assets conting $4,300,000. The cash flows from these assets for the past three years have been

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One division of the Marvin Educational Enterprises has depreciable assets conting $4,300,000. The cash flows from these assets for the past three years have been Year 1 2 3 $ 1.419.000 $ 1,634,000 $ 1,806,000 The current (.e., replacement) costs of these assets were expected to increase 25% each year. Marvin used the straight-line depreciation method; the estimated useful life is 10 years with no salvage value. For return on investment (ROI) calculations, Marvin uses end-of-year balances. What is the ROI using historical cost and gross book value? B. C. D. Year 1 23.0% 28.0% 21.0 % 33.0 % Year 2 28.0 % 31.0% 29.5% 38.0% Year 3 32.0% 33.5 % 29.5 % 42.0% Option A Option B Option C O Option D

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