A company is considering a project that will require an init

A company is considering a project that will require an initial investment of $20,000 and will generate annual net cash inflows over its 10-year life. If the company’s cost of capital is 10%, the break-even net cash inflow the project must provide for it to be acceptable is: A. $1,667. B. $2,000. C. $2,935. D. $3,000. E. $3,255.

please give me formulae, do not use excel

Solution

The Breakeven Net cash inflow should be E. $3,255