Canvas UNR 々 inboxDollars M McGraw-Hill Connect Log In to Canvas Balloons By Sunset (BBS) is considering the purchase of two new hot air balloons so that it can exp desert sunset tours. Various information about the proposed investment follows: Initial investment (for two hot air balloons) Useful life Salvage value Annual net income generated BBS's cost of capital 305,000 7 years $ 46,000 $ 27,755 14% Assume straight line depreciation method is used. Required: Help BBS evaluate this project by calculating each of the following: 1. Accounting rate of return. (Round your answer to 1 decimal place.) Aocouning Rate of Return nting Rate of Return 2. Payback period. (Round your answer to 2 decimal places.) Years ck Period