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Wake Logistics is considering an investment in a new IT system that would allow the company to offer new services to its clients. The system
Wake Logistics is considering an investment in a new IT system that would allow the company to offer new services to its clients. The system would cost $230,000 and would be depreciated on a straight-ine basis over a 12-year period with an estimated residual value of $50,000. Using the rate of return method, what is the minimum average annual net cash inflow that must be from this investment in order to achieve an 8% accounting rate of return? 400 18,400 None of the above
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