Question: You are evaluating a project that will require an investment of $15 million that will be depreciated over a period of 19 years. You are
You are evaluating a project that will require an investment of $15 million that will be depreciated over a period of 19 years. You are concerned that the corporate tax rate will increase during the life of the project.
a. Would this increase the accounting break-even point?
multiple choice 1
- Yes
- No
b. Would it increase the NPV break-even point?
multiple choice 2
- Yes
- No
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