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Sydney Trains has just opened a new train line. Julian from Sydney Trains has been tasked with identifying the number of customers required per day
Sydney Trains has just opened a new train line. Julian from Sydney Trains has been tasked with identifying the number of customers required per day for the new train line to breakeven. Sydney Trains has a MARR of 6% compounded annually and the new train line has the following expected cashflows: A capital investment of 28,000,000; Annual operating costs of 4,200,000 per year; Salvage value of $0 at the end of the projects' life; A useful life of 50 years; and Revenues of 6 per customer. Calculate the number of customers required per day for the new train line to break even
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