Solved

Jake's Tree Farm Is Evaluating a Proposal to Plant 5,000

Question 2

Multiple Choice

Jake's Tree farm is evaluating a proposal to plant 5,000 ornamental trees at an initial cost of $10,000. The trees will be sold in 5 years. What is the minimum after tax cash flow from selling the trees that will allow the tree planting project to reach break even NPV? Use a discount rate of 12%.


A) $12,000.00
B) $5,674.26
C) $17,623.42
D) $17,958.56

Correct Answer:

verifed

Verified

Related Questions