Claire Designs is looking at a new computer assisted drafting system. The system costs $125,000 and would generate an annual $33,000 in savings of operating costs over its 12-year life. At the end of...

Claire Designs is looking at a new computer assisted drafting system. The system costs $125,000 and would generate an annual $33,000 in savings of operating costs over its 12-year life. At the end of the 12 years, the system could be sold for $15,000. The company uses a 16% discount rate. The system’s accounting rate of return is closest to