Accounting break-even production quantity for project

Assignment Help Financial Management

Reference no: EM13927956

The accounting break-even production quantity for a project is 12,320 units. The fixed costs are $187,400 and the contribution margin per unit is $18.10. The fixed assets required for the project will be depreciated on straight-line basis to zero over the project's 4-year life. What is the amount of fixed assets required for this project?

Reference no: EM13927956

Questions Cloud

Capital gains are treated as income and get taxed : In U.S., capital gains are treated as income and get taxed. For securities, long-term gains have higher tax rate than short-term gains. When one invests in futures market, the gains/losses are realized every day, which is called daily settlement. The..

The separation of ownership and control describes : The separation of ownership and control describes _________

What is its percentage after-tax cost of debt : Micro Spinoffs Inc. issued 10-year debt a year ago at par value with a coupon rate of 5%, paid annually. Today, the debt is selling at $1,210. If the firm’s tax bracket is 20%, what is its percentage after-tax cost of debt? Assume a face value of $1,..

What is the percentage cost of the preferred stock : Pangbourne Whit church has preferred stock outstanding. The stock pays a dividend of $8 per share, and sells for $40. What is the percentage cost of the preferred stock?

Accounting break-even production quantity for project : The accounting break-even production quantity for a project is 12,320 units. The fixed costs are $187,400 and the contribution margin per unit is $18.10. The fixed assets required for the project will be depreciated on straight-line basis to zero ove..

What is the equivalent monthly interest rate : A couple purchases a home and signed a mortgage for $240000 to be paid in equal monthly installments over 25 years, with interest i^(2) = 0.18. What is the equivalent monthly interest rate i? What are the monthly payments? How much principal is repai..

Unexpected profits from sale of some land to state for way : The president and the board of directors have been talking about ways to use the unexpected profits from the sale of some land to the state for a right of way. One idea that was under consideration at the last meeting was to “call” (or pay off early)..

What is the total interest paid : Suppose that a debt of $2200 with interest at i^(4) = 0.10 is amortized by payments of $500 at the end of each quarter for as long as possible. How many payments are made? What is the last payment? What is the total interest paid?

Law granting trade preferences to imports from island nation : The U.S. law granting trade preferences to imports from the island nations of the Caribbean and Central America is called:

User Account

All Pages