What is the breakeven point of a project with the following cash flows? Answers:3 years 6 years 6.5 years 10 years InflowsYearYear 0Year 1Year 2Year 3+Outflows-$20,000-$5,000-$1,000$4,000$4,000$4,000

Therefore, the total cash outflow is $26,000.

Answered: Inflows Year Year 0 Year 1 Year 2 Year…

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Inflows Year Year 0 Year 1 Year 2 Year 3+ Outflows -$20,000 -$5,000 -$1,000 $4,000 $4,000 $4,000

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter17: Business Tax Credits And The Alternative Minimum Tax

Section: Chapter Questions

Problem 4CE

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Question

What is the breakeven point of a project with the following cash flows?


Answers:	3 years
	6 years
	6.5 years
	10 years

Inflows
Year
Year 0
Year 1
Year 2
Year 3+
Outflows
-$20,000
-$5,000
-$1,000
$4,000
$4,000
$4,000

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