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Calculate the NPV Break-Even Level of Sales for a Project

Question 123

Multiple Choice

Calculate the NPV break-even level of sales for a project requiring an investment of $3,000,000 and providing as cash flows:.15 × sales less $250,000.Assume the project will generate these cash flows for 10 years and that the discount rate is 10 percent.


A) $3,254,890
B) $3,504,890
C) $4,921,549
D) $19,686,667

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