What is the projects average accounting return

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Reference no: EM131986146

You’re trying to determine whether to expand your business by building a new manufacturing plant. The plant has an installation cost of 11.8 million, which will be depreciated straight-line to zero over its four year life. If the plant has projected net income of $1,834,300, $1,887,600,$1,856,000, and $1,309,500 over these four years, what is the projects average accounting return?

Reference no: EM131986146

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