Question: using different words for this: Project A, which has an ARR of 11%, falls short of the required threshold, and likewise, Project B, with an

using different words for this: Project A, which has an ARR of 11%, falls short of the required threshold, and likewise, Project B, with an ARR of 10.5%, also fails to meet the committee's minimum return requirement. The Average Rate of Return (ARR) method is beneficial because of its simplicity, making it easy to understand and calculate, which is helpful for decision-makers who may not be well-versed in complex financial analyses

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