If a Project Has an Expected Life of Three Years,requires

Multiple Choice

If a project has an expected life of three years,requires an initial outlay of $5000,has a net present value of $2205.40 and an accounting rate of return of 40%,and promises a uniform cash flow over its life,how much depreciation is being deducted on an annual basis if the required rate of return is 12% p.a.?

A) $800
B) $1000
C) $550
D) $430