Question: A project will cost $10,000 up front and $1,000 each year thereafter. The project will bring in $1,000 the first year, then $5,000 each year

A project will cost $10,000 up front and $1,000 each year thereafter. The project will bring in $1,000 the first year, then $5,000 each year after. What is the breakeven point (payback period) for the project?

Group of answer choices

The project is a loss and will never break even

4.5 years

2.5 years

3.5 years

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