Consider a project with the following data: accounting break-even quantity = 5,400 units; cash break-even quantity = 5,000 units; life = five years; fixed costs = $200,000; variable costs = $38 per unit; required return = 10 percent. Ignoring the effect of taxes, find the financial break-even quantity. (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)
Consider a project with the following data: accounting break-even quantity = 5,400 units; cash break-even quantity = 5,000 units; life = five years; fixed costs = $200,000; variable costs = $38 per unit; required return = 10 percent. Ignoring the effect of taxes, find the financial break-even quantity. (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)
Related questions
| A project has the following estimated data: price = $44 per unit; variable costs = $30 per unit; fixed costs = $17,500; required return = 12 percent; initial investment = $35,000; life = five years. |
| Ignoring the effect of taxes, what is the accounting break-even quantity? (Round your answer to 2 decimal places. (e.g., 32.16)) |
| Break-even quantity |
| What is the cash break-even quantity? (Round your answer to 2 decimal places. (e.g., 32.16)) |
| Break-even quantity |
| What is the financial break-even quantity? (Round your answer to 2 decimal places. (e.g., 32.16)) |
| Break-even quantity |
| What is the degree of operating leverage at the financial break-even level of output? (Round your answer to 3 decimal places. (e.g., 32.161)) |
| DOL | |
