A project cost * 1,00,000 and has scrap value of *20,000. Its stream of income before depreciation and taxes during the First year through five years is 20,000, 24,000, 28,000, 32,000 and 40,000. Assume a 50% tax rate and depreciation on straight line basis. Calculate accounting rate for the project.
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the only diff is i have applied tax as 25% you can do it 50% acc to ques
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