Multiple Choice
Coriander Company is considering a project with an initial investment of $426,800 in new equipment that will yield annual net cash flows of $80,000, and will be depreciated at $53,350 per year over its eight year life. What is the accounting rate of return?
A) 320%
B) 18.74%
C) 6.24%
D) 31.27%
E) 50.0%
Correct Answer:

Verified
Correct Answer:
Verified
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