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The Estimated Cash Flows of an Investment Project Are Shown

Question 8

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The estimated cash flows of an investment project are shown below. The estimated cash flows of an investment project are shown below. Using an interest rate of 2% per year, analyze the sensitivity of the PW to changes in initial investment and annual revenue, and determine the breakeven percentage changes of these two factors. Using an interest rate of 2% per year, analyze the sensitivity of the PW to changes in initial investment and annual revenue, and determine the breakeven percentage changes of these two factors.

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