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The capital investment committee of Overnight Express Inc. is considering two investment projects. The estimated income from operations and net cash flows from each investment

The capital investment committee of Overnight Express Inc. is considering two investment projects. The estimated income from operations and net cash flows from each investment are as follows:
Distribution Center Expansion Income from Operations:
$26,600,$26,600,$26,600,$26,600,$26,600 Total:$133,000
Distribution Center Expansion Net Cash Flows:
$87,000,987,000, $87,000, $87,000,$87,000 Total $435,000
Technology Income from Operations:
$56,000,$43,000, $21,000,99,000,94,000 Total: $133,000
Technology Net Cash Flows:
$139,000,$117,000,$83,000,$57,000,$39,000 Total $435,000
The Distribution Center Expansion requires an investment of $380,000 while the Internet Tracking Technology requires an investment of $302,000. Straight-line depreciation will be used, and no residual value is expected for either project.
Required:
1. Compute the average rate of return for each investment. Round to one decimal place.

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