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What Is the Approximate Economic Break-Even Sales for a Project

Question 62

Multiple Choice

What is the approximate economic break-even sales for a project costing $4,000,000 and generating cash flows according to .30 *sales - $450,000? Assume the project will last 10 years and require a discount rate of 12%.


A) $2,093,654
B) $2,359,047
C) $3,859,798
D) $13,783,333

Correct Answer:

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