Pierres hair salon is considering opening a new location in

Reference no: EM13579618

Pierre's Hair Salon is considering opening a new location in French Lick, California. The cost of building a new salon is $265,300. A new salon will normally generate annual revenues of $64,815, with annual expenses (including depreciation) of $39,300. At the end of 15 years the salon will have a salvage value of $74,900.

Calculate the annual rate of return on the project.

Reference no: EM13579618

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