Purvell Corporation has just acquired a new machine with the following characteristics (Ignore income taxes.): Cost of the equipment Annual cash savings Life of the machine $50,000 $15,000 8 years The company uses straight-line depreciation and a $5,000 salvage value. Assume cash flows occur uniformly throughout a year except for the initial investment and the salvage at the end of the project The simple rate of return would be closest to: Multiple Choice O 30.0% . 17.5% 18.75% 0 12.5% 125%