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Calculate the annual rate of return

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Reference no: EM133139708

Question - Crane Oil Company is considering investing in a new oil well. It is expected that the oil well will increase annual revenues by $140,250 and will increase annual expenses by $88,000 including depreciation. The oil well will cost $465,000 and will have a $10,000 salvage value at the end of its 10-year useful life. Calculate the annual rate of return.

Reference no: EM133139708

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