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Redwood Corporation is considering two alternative investment proposals with the following data: Proposal X $860,000 10 years Proposal Y $510,000 10 years Investment Useful life

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Redwood Corporation is considering two alternative investment proposals with the following data: Proposal X $860,000 10 years Proposal Y $510,000 10 years Investment Useful life Estimated annual net cash inflows for 10 years Residual value Depreciation method Required rate of return $150,000 $69,000 Straight-line 15% $98,000 $- Straight-line 12% What is the accounting rate of return for Proposal Y? (Round any intermediary calculations to the nearest dollar, and round your fina O A. 8.24% OB. 10.00% O c. 19.22% OD. 9.22%

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