What should be your sales per year for overhauling to be


Assume your company has $100K in its cash account. According to the most recent economic forecasts, your best investment opportunity in the market will be returning 8% in the coming five years and 5% thereafter. You can invest $100K on overhauling the production method which will leave the sales per year the same but is projected to improve the profit margin from 10% to 12%, what should be your "sales per year" for overhauling to be the preferred alternative?

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Financial Management: What should be your sales per year for overhauling to be
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