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Peng Company is considering an investment expected to generate an average net income after taxes of $2,600 for three years. The investment costs $56,400 and
Peng Company is considering an investment expected to generate an average net income after taxes of $2,600 for three years. The investment costs $56,400 and has an estimated $7,500 salvage value. Compute the accounting rate of return for this investment; assume the company uses straight-line depreciation
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