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6. Compute the annual break-eyen sales growth rate (m: use the monthly formula but now the time horizon is one year instead of one month].

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6. Compute the annual break-eyen sales growth rate (m: use the monthly formula but now the time horizon is one year instead of one month]. [1 mark] Compute the cash flows of the project in the first year and in the fol lowing years, if g is equal to the break-eyen sales growth rate. [2 marks] What is the NW of the project if g is equal to the break-eyen sales growth rate? Would you implement this project? {2 marks] What is the growth rate of the cash flows every year as a function of g? [3 marks] What should be the minimum sales growth rate such that the project is implemented? {3 marks] If clients could pay with a one-month delay, would that affect the minimum sales growth rate below which the project will not be implemented? In what direction? {no computations needed] {1.5 marks] Can a project with a negatiye gross margin [production costs higher than 100%} have a positiye NP'y'? Explain. [1.5 marks]

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