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You can define the cash - flow break - even point as the sales volume ( in dollars ) at which cash flow equals zero.
You can define the cashflow breakeven point as the sales volume in dollars at which cash flow equals zero. Assume a project has an initial cost and a year life. a Is the cashflow breakeven level of sales higher or lower than the zeroprofit accounting breakeven point? b If a project operates at its cashflow breakeven point for its entire life, is its NPV positive or negative? a Is the cashflow breakeven level of sales higher or lower than the zeroprofit accounting breakeven point? b If a project operates at its cashflow breakeven point for its entire life, is its NPV positive or negative?
You can define the cashflow breakeven point as the sales volume in dollars at which cash flow equals zero. Assume a project has an initial cost and a year life.
a Is the cashflow breakeven level of sales higher or lower than the zeroprofit accounting breakeven point?
b If a project operates at its cashflow breakeven point for its entire life, is its NPV positive or negative?
a Is the cashflow breakeven level of sales higher or lower than the zeroprofit accounting breakeven point?
b If a project operates at its cashflow breakeven point for its entire life, is its NPV positive or negative?
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