Hunziker Company is considering the purchase of wood cutting equipment.Data on the equipment are as follows: The company uses the straight-line method of depreciation with no mid-year convention.
What is the accounting rate of return on original investment rounded to the nearest percent, assuming no taxes are paid?

Question

Hunziker Company is considering the purchase of wood cutting equipment.Data on the equipment are as follows:  The company uses the straight-line method of depreciation with no mid-year convention.
What is the accounting rate of return on original investment rounded to the nearest percent, assuming no taxes are paid?

Quizplus · Accepted Answer

The Answer of Hunziker Company is considering the purchase of wood cutting equipment.Data on the equipment are as follows:  The company uses the straight-line method of depreciation with no mid-year convention.
What is the accounting rate of return on original investment rounded to the nearest percent, assuming no taxes are paid?

Hunziker Company Is Considering the Purchase of Wood Cutting Equipment