which one of the following represents the level of output where a project produces a rate of return just equal to its requirement?

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23-11-2022
Social Studies

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which one of the following represents the level of output where a project produces a rate of return just equal to its requirement?

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JitSen257 JitSen257 · Answer 1 · 2022-11-28T10:30:57+01:00

The cash break-even point for the project is anticipated to be reached on the basis of this analysis.the level of output at which a project achieves a rate of return that is nearly identical to its financial break-even point.

Cash Break Even Point = Fixed Costs - Non-cash expenses - (Selling Price per Unit - Variable Cost per Unit) This formula assumes that sales revenue is your only source of cash income; however, it is simple to adjust it to take into account other sources of cash revenue that your company typically receives.

How does "Cash Break-Even" work?

The minimum amount of cash revenue a company needs to achieve neutral cash flow (cash inflows minus cash outflows) is known as cash break-even.You can determine where to focus your own business by solving for that amount of cash using a cash break-even analysis.

Learn more about cash break-even point here:

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