Consider a 7-year project with the following information

Reference no: EM13623161

Consider a 7-year project with the following information: initial fixed asset investment = $470,000; straight-line depreciation to zero over the 7-year life; zero salvage value; price = $39; variable costs = $16; fixed costs = $188,000; quantity sold = 118,440 units; tax rate = 36 percent. How sensitive is OCF to changes in quantity sold?

Reference no: EM13623161

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