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You Are Looking at an Investment Which Has an Initial

Question 296

Multiple Choice

You are looking at an investment which has an initial cost of $400,000 and a salvage value of zero after five years. What is the average accounting return for this investment given the following annual net incomes: You are looking at an investment which has an initial cost of $400,000 and a salvage value of zero after five years. What is the average accounting return for this investment given the following annual net incomes: A) 1% B) 36% C) 44% D) 48% E) 55%


A) 1%
B) 36%
C) 44%
D) 48%
E) 55%

Correct Answer:

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