What is closest prospective rate of return-disregard taxes

Reference no: EM13687029

A company purchases a piece of construction equipment for rental purposes. The expected income is $3,100 annually for its useful life of 15 years. Expenses are estimated to be $355 annually. If the purchase price is $25,000 and there is no salvage value (it is worth $0.00 at the end of its useful life), what is the closest prospective rate of return; disregard taxes:

Reference no: EM13687029

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