The table given belowshows how, on average, the market value of a Boeing 737 has varied with its age and the cash flow needed in each year to provide a 11% return. (For example, if you bought a 737 for $19.73 million at the start of year 1 and sold it a year later, your total profit would be 18.01 + 3.89 19.73 = $2.17 million, 11% of the purchase cost.) Assume airlines write off their aircraft straight-line over 15 years to a salvage value equal to 25% of the original cost.

Start of Year	Market Value	Cash Flow
1	19.73
2	18.01	3.89
3	16.83	3.16
4	15.80	2.88
5	14.93	2.61
6	14.11	2.46
7	13.40	2.26
8	12.70	2.17
9	12.09	2.01
10	11.48	1.94
11	10.95	1.79
12	10.41	1.74
13	9.95	1.61
14	9.46	1.58
15	9.05	1.45
16	8.61	1.44

a. Calculate economic depreciation, book depreciation, economic return, and book returnfor each year of the planes life. (Leave no cells blank - be certain to enter "0" wherever required. Do not round intermediate calculations.Enter your answers in millions except for percentage values. Round your percentage answers to 1 decimal place and other answers to 2 decimal places.)

Start of Year	Economic depreciation	Book depreciation	Economic return (%)	Book return (%)
1	not attempted	not attempted	not attempted	not attempted
2	not attempted	not attempted	not attempted	not attempted
3	not attempted	not attempted	not attempted	not attempted
4	not attempted	not attempted	not attempted	not attempted
5	not attempted	not attempted	not attempted	not attempted
6	not attempted	not attempted	not attempted	not attempted
7	not attempted	not attempted	not attempted	not attempted
8	not attempted	not attempted	not attempted	not attempted
9	not attempted	not attempted	not attempted	not attempted
10	not attempted	not attempted	not attempted	not attempted
11	not attempted	not attempted	not attempted	not attempted
12	not attempted	not attempted	not attempted	not attempted
13	not attempted	not attempted	not attempted	not attempted
14	not attempted	not attempted	not attempted	not attempted
15	not attempted	not attempted	not attempted	not attempted
16	not attempted	not attempted	not attempted	not attempted

b-1. Suppose an airline invested in a fixed number of Boeing 737s each year. Calculate the steady-state book rate of return. (Do not round intermediate calculations.Enter your answer as a percent rounded to 2 decimal places.)

Steady-state book rate of return

not attempted

%