Consider the following abbreviated financial statements for a proposed investment Years Sales Costs EBDIT Depreciation EBIT Taxes (201) Net Income 3 550,000 340,000 2 300.000 130,000 400,000 180,000 If the total inestment cost of this project is 450,000 Sandi Riyals. Find the Accounting Rate of Return (ARR) for the proposed investment.

ENGR.ECONOMIC ANALYSIS
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Author:NEWNAN
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Chapter1: Making Economics Decisions
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Corsider the following abbroviated financial statements for a proposed investment
Years
2
Sales
300,000
130,000
400,000
180,000
550,000
340,000
Costs
EBDIT
Depreciation
EBIT
Taxes (2014)
Net Income
If the total imestment cost of this project is 450,000 Szudi Riyalı. Find the Accounting Ratc of
Return (ARR) for the proposed investment.
Transcribed Image Text:Corsider the following abbroviated financial statements for a proposed investment Years 2 Sales 300,000 130,000 400,000 180,000 550,000 340,000 Costs EBDIT Depreciation EBIT Taxes (2014) Net Income If the total imestment cost of this project is 450,000 Szudi Riyalı. Find the Accounting Ratc of Return (ARR) for the proposed investment.
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