LaGrange Corp

question 64

Multiple Choice

LaGrange Corp. has forecasted that over the next four years the average annual after-tax income will be $45,731. The average book value of the manufacturing equipment that is used is $167,095. What is the accounting rate of return? (Round your answer to one decimal place.)

• A) 33.3%
• B) 27.4%
• C) 29.8%
• D) 22.3%

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Definitions:

Fresh Perspective

A new or different way of viewing or approaching a situation, problem, or task.

Cognitive-Behavioral Therapy

A type of psychotherapeutic treatment that helps patients understand the thoughts and feelings that influence behaviors.

Irrational Negative Thinking

A pattern of thought characterized by distorted, pessimistic biases, unfounded on reason or factual evidence.

Countercondition

A behavioral therapy technique where an undesired response to a stimulus is replaced with a desirable one through association of the stimulus with a different, positive condition.