The management of Nixon Corporation is investigating purchasing equipment that would cost $538,000 and have a 7 year life with no salvage value. The equipment would allow an expansion of capacity that would increase sales revenues by $374,000 per year and cash operating expenses by $216,000 per year (gnore income taxes) Required: Determine the simple rate of return on the investment (Round your answer to 1 decimal place.) Sunglo rate of room