Question: 3. Assume that, starting from Year 8, the project will start generating $10,000 per year indefinitely (forever). a. What is the new net present value?

 3. Assume that, starting from Year 8, the project will start

3. Assume that, starting from Year 8, the project will start generating $10,000 per year indefinitely (forever). a. What is the new net present value? Should the project be accepted with the added cash flows (from Year 8 onwards)? Provide a sentence or two to thoroughly explain and support your conclusion. Round your answer to two decimal places (e.g., $12.34). Show your complete work below or in the designated work space on the spreadsheet. 7 pts. (If you provided your answer and work in Excel, write down See Excel" below.) b. What is the new break-even point for the project, if it has changed? Round your answer to two decimal places (e.g., 12.34%). Show your complete work below or in the designated work space on the spreadsheet. 7 pts. (If you provided your answer and work in Excel, write down See Excel" below.) 3. Assume that, starting from Year 8, the project will start generating $10,000 per year indefinitely (forever). a. What is the new net present value? Should the project be accepted with the added cash flows (from Year 8 onwards)? Provide a sentence or two to thoroughly explain and support your conclusion. Round your answer to two decimal places (e.g., $12.34). Show your complete work below or in the designated work space on the spreadsheet. 7 pts. (If you provided your answer and work in Excel, write down See Excel" below.) b. What is the new break-even point for the project, if it has changed? Round your answer to two decimal places (e.g., 12.34%). Show your complete work below or in the designated work space on the spreadsheet. 7 pts. (If you provided your answer and work in Excel, write down See Excel" below.)

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