Sold annually to achieve breakeven

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Reference no: EM131608986

Cecil’s Manufacturing is considering producing a new product. The sales price would be $10.25 per unit. The cost of the equipment is $106,000. Operating and maintenance costs are expected to be $2,900 annually. Based on a 7-year planning horizon and a MARR of 12%, determine the number of units that must be sold annually to achieve breakeven.

Reference no: EM131608986

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