Depreciated straight-line to zero over its four-year life

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Reference no: EM131923701

Monmart Corp. plans to expand its business. The installation cost is $2 million, which will be depreciated straight-line to zero over its 4-year life. The project will yield the net income of $417,000, $329,500, $258,100, and $358,000 over the next 4 years. Calculate the AAR of the project.

Reference no: EM131923701

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