Question: Please help a,b,c QUESTION #1 Blink 281 Corporation is considering an investment that will cost $80,000 and last for 5 years. The investment will be

Please help a,b,c

Please help a,b,c QUESTION #1 Blink 281
QUESTION #1 Blink 281 Corporation is considering an investment that will cost $80,000 and last for 5 years. The investment will be amortized on a straight line basis over that period. Earnings generated by the investment before amortization and taxes over this period are as follows: Year 1 $35,000 Year 2 37,000 Year 3 41,000 Year 4 45,000 Year 5 50,000 Blink has a tax rate of 40%. What is the average accounting return on this project? b ) Should this project be accepted? What criteria would you use to accept or decline the project? C) What are the problems associated with this type of analysis

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