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A publisher is deciding whether or not to invest in a new printer. The printer would cost $900, and would increase the cash flow in

A publisher is deciding whether or not to invest in a new printer. The printer would cost $900, and would increase the cash flow in year 1 by $500 and in year 3 by $800. Cash flows do not change in year 2. The interest rate is 12%.

What is the break-even quantity?

Answer is 1250. How is it 1250?

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