Which of the following always holds true of the Accounting Rate of Return? 1. It is computed as the average annual accounting return divided by the average investment and expressed as a percentage 2. It is a good method of appraisal for assessing how an investment could impact the performance ratios an external analyst may use for assessing the company's performance 3. It accounts for the riskiness of the future cash flow projections. 4. It will be higher for projects with shorter Payback periods 0 1&2 O2 & 3 01&4 02&4