A project has an initial cost of 35000 and a four-year life, Ask an Expert

Management Studies

A project has an initial cost of $35,000 and a four-year life. The company uses straight-line depreciation to a book value of zero over the life of the project. The projected net income from the project is $1,100, $1,300, $1,600, and $1,800 a year for the next four years, respectively. What is the average accounting return?

5.14 percent

4.14 percent

16.57 percent

8.29 percent

4.82 percent

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M91626189

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