Ultra$-$Corporation purchased an equipment costing $$300,000.$ The expected after$-$tax net income of $$9,000$ each year It is predicted that the machine is expected to have a $12-$year service life and a residual value $$60,000.$ Company uses straight$-$line depreciation. Compute this machine's accounting rate of return.

$3\mathrm{.}75\%$

$5\%$

$3\%$

$2\mathrm{.}5\%$