Proposal X Proposal Y Investment $1,000,000 $775,000 Useful life in years Estimated annual net cash inflows $185,000 $139,000 Residual value $90,000 $0 Depreciation method Straight-line Straight-line Required rate of return 8.55% 3.50% What is the accounting rate of return for Proposal X? 1) Enter percentages as whole numbers, e.g. enter 7.18% as 7.18 not 0.0718. 2) Please round to 2 decimal places. Using only ARR and ignoring all other data which proposal do you select? O Proposal X Proposal Y Using ARR and incorporating Required Rate of Return into your decision making process - which proposal do you select? Proposal X Proposal Y