TB MC Qu$.11-95($Static$)$ Watson Corporation is considering buying a$...$

Watson Corporation is considering buying a machine for $$25,000.$ Its estimated useful life is $5$ years with no salvage value. Watson anticipates annual income of $$1,500$ from the new machine. What is the accounting rate of return assuming that income is earned uniformly throughout each year?

Multiple Choice

$6\mathrm{.}0\%.$

$8\mathrm{.}0\%.$

$8\mathrm{.}5\%.$

$10\mathrm{.}0\%.$

$12\mathrm{.}0\%.$