Tiberius Manufacturing is considering two alternative investment proposals with the following data:

	Proposal X	Proposal Y
Investment	$10,500,000	$500,000
Useful life	5 years	5 years
Estimated annual net cash inflows for 5 years	$2,100,000	$105,000
Residual value	$52,000	$32,000
Depreciation method	Straight-line	Straight-line
Required rate of return	13%	12%

Calculate the accounting rate of return for Proposal Y. (Round any intermediate calculations and your final answer to two decimal places.)

A. 13.87%

B.

4.29%

C.

9.52%

D.

12.63%