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Consider a project that has an NPV of $100, and revenue in each period is expected to be $120. If NPV increases by 10 percent

Consider a project that has an NPV of $100, and revenue in each period is expected to be $120. If NPV increases by 10 percent for every 2.5 percent rise in revenue, which of the following values of revenue is closest to breakeven?

  1. $80
  2. $90
  3. $100
  4. $110
  5. $120

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