June Co Is Evaluating a Project Requiring a Capital Expenditure of of $620,000

June Co. is evaluating a project requiring a capital expenditure of $620,000. The project has an estimated life of four years and no salvage value. The estimated net income and net cash flow from the project are as follows:
$\begin{array}{ll} \text {Net Cash Flow}& \text {Net Income}& \text { Year}\\\$ 200,000 & \$ 45,000 &1\\240,000 & 85,000 &2\\160,000 & 5,000&3 \\170,000 & 15,000 &4\\ 770,000 & \$ 150,000\end{array}$
The company's minimum desired rate of return is 12%. The present value of $1 at compound interest of 12% for 1, 2, 3, and 4 years is 0.893, 0.797, 0.712, and 0.636, respectively.
Determine: (a) the average rate of return on investment, giving effect to depreciation on the investment, and (b) the net present value.