Weston's uses stralght-line depreclation to zero over a project's life. a new project has a fixed asset cost of $2,687,300 and projected annual net income of $95,000, $162,000, $286,000, and $304,000 over years 1 to 4. what is the average accounting return?
a) 14.35 percent
b) 15.63 percent
c) 14.87 percent
d) 15.76 percent
e) 6.05 percent

D) 15.76 percent

Explanation:

First, sum up the expected cash inflows;

= (95,000 + 162,000 + 286,000 + 304,000)

= 847,000

Next, find average cash inflows by dividing 847,000 by 4 years;

= 847,000/4

= 211,750

Initial amount invested = 2,687,300

Find the average amount by dividing 2,687,300 by 2

= 2,687,300/2

= 1,343,650

To find average accounting return, divide 211,750 by 1,343,650;

= 211,750 / 1,343,650

= 0.15759

As a percentage, it becomes 15.76%

muslims control the north africa during the period of 1500 up

to 1800. they made a barrier to prevent further european exploration from

entering the africa from the north. however, the dutch ware still able to move

toward the interior with having south africa as one of the routes leading to

the east for trading with asia.

answercombination of ability and experience of the partners;