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How many units would allow you

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Question - A project can run for ten years and it requires an initial capital cost of $205,000. Based on its risk, investors discuss and believe a discount rate of 12% is appropriate. The selling price is $45.00 per unit while the sum of variable costs is $28.00 per unit. Annual fixed costs are $67,500. Ignoring taxes, how many units would allow you to reach a financial break-even point?

Reference no: EM133094188

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