Reference no: EM132799680

The benefits of a project are $40,000 at the beginning of the project with increasing benefits of $10,000 a year for the next five years (year 1 = $50,000, year 2 = $60,000, year 3 = $70,000, year 4 = $80,000, year 5 = $90,000). One-time development costs are $80,000, and recurring costs are $45,000 over the duration of the project's life. The discount rate for the company is 11 percent. Using a six-year time horizon (y0, y1, y2, y3, y4, y5), what does a graphical representation look like for the break-even analysis in the event that it occurs at any point from y0 to y5?