When the design will break even in terms of cash flow

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Reference no: EM132204748

A company is developing a new web site that will allow customers to track the progress of their orders. The web site developers charge $10,000 for every development week and it is estimated that the design will take 10 weeks from the start of the design project to the launch of the web site. Once launched, it is estimated that the new site will attract extra business that will generate profits of $5,000 per week. However, if the web site is delayed by more than 5 weeks, the extra profit generated would reduce to $2,000 per week. How will a delay of 5 weeks affect the time when the design will break even in terms of cash flow?

Reference no: EM132204748

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