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Question Completion Status: QUESTION 12 Dartis Tools Co. is considering investing in specialized equipment costing $670,000. The equipment has a useful life of five years
Question Completion Status: QUESTION 12 Dartis Tools Co. is considering investing in specialized equipment costing $670,000. The equipment has a useful life of five years and a residual value of $61,000. Depreciation Is calculated using the straight-line method. The expected net cash inflows from the investment are given below: Year 1 $201,000 2 159.000 3 163,000 100,000 5 157.000 $780,000 What is the accounting rate of return on the investment? (Round your answer to two decimal places.) 11 23% 4.68% O 9.36% O 10.21%
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