Based on the projected net incomes and cost of purchasing the equipment, the average accounting rate of return is 12.5%.
<h3>How can we find the average accounting rate of return?</h3>
This can be found as:
= Average cashflows / Average investment
Average cashflows are:
= (7,200 + 11,300 + 14,100 + 20,000) / 4
= $13,150
Average investment is:
= 210,000 / 2
= $105,000
The average accounting rate of return is:
= 13,150 / 105,000
= 12.5%
The new equipment should not be bought if the required AAR is 12% because it would be less than the AARR.
Find out more on Average accounting rate of return at brainly.com/question/18914899.
#SPJ1
Dear (insert name),
I would like to invite you to my birthday party on (insert date) at (insert time). It will be held at (insert location). If you could RSVP at this number (insert number). I hope to see you there
Your Friend,
(insert name)
<span>B)It makes the imagined addressee feel more present to the reader. :)</span>
Subjective Mood. I hope that helps! :)
