Question: Assuming monetary benefits of an information system at $86,000 per year, one-time costs of $75,000, recurring costs of $35,000 per year, a discount rate of

Assuming monetary benefits of an information system at $86,000 per year, one-time costs of $75,000, recurring costs of $35,000 per year, a discount rate of 12 percent, and a five-year time horizon, calculate the net present value (NPV) of these costs and benefits of an information system. At what point does break-even occur?


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