[The following information applies to the questions displayed below

[The following information applies to the questions displayed below.]

Most Company has an opportunity to invest in one of two new projects. Project Y requires a $345,000 investment for new machinery with a five-year life and no salvage value. Project Z requires a $345,000 investment for new machinery with a four-year life and no salvage value. The two projects yield the following predicted annual results. The company uses straight-line depreciation, and cash flows occur evenly throughout each year. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

Sales Proect V Proect $375, 000 $300,000 Expenses Direct materi.s 52, 500 37, 500 Direct labor Overhead including depreciation 173'5,r0 143'5,r0 Selling and administrative expenses Total expenses 27 000  27 000 Pretax income Income taxes (32%) B5,500 27, HO 55,500 17,700 Net income $ 58,140 $ 37,740 
Compute each project, accounting rate of return. 
smajm Choose Denominator: 
Project 
Project 
Accounting gate of Return 
Accounting rate of return