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Shelley Company uses the Accounting Rate of Return to help in making cpital investment decisions. They give you the following information about the purchase of

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Shelley Company uses the Accounting Rate of Return to help in making cpital investment decisions. They give you the following information about the purchase of a new plant. The plant, a depreciable asset, has a 10-year life, will cost $1,000,000 with zero salvage value. The Accounting Rate of Return for the plant will be: 26% 13% 46% 36% 12%

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