Sayer Tool Co. is considering investing in specialized equipment costing $640,000. The equipment has a useful life of five years and a residual value of $69,000. Depreciation is calculated using the straight line method. The expected net cash inflows from the investment are given below: Year 1 $208,000 2 152,000 3 161,000 4 105,000 5 144,000 $770,000 What is the accounting rate of return on the investment? (Round your answer to two decimal places.) A. 11.23% B. 13.94% C. 5.61% D. 12.44%