Question: 3 . Pace Company is considering undertaking a project that would generate annual profits ( after depreciation ) of $ 6 8 , 0 0

3. Pace Company is considering undertaking a project that would generate annual profits (after depreciation) of $68,000 for 5 years. The initial outlay of the project is estimated to be $800,000. It is also estimated that the scrap value of the residual from the project be 0 at the end of the project.
What would be the accounting rate of return for this project?

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