The Nifty Fifty is considering opening a new store at a start-up cost of $628,000. The initial investment will be depreciated straight-line to zero over the 15-year life of the project. What is the average accounting rate of return given the following net income projections?

Years         Net Income

1-5               $58,000

6-10               52,000

11-15              44,000

A. 16.42 percent

B. 16.68 percent

C. 17.01 percent

D. 17.18 percent

E. 16.35 percent