What is accounting and economic break-even level of sales

Assignment Help Financial Management

Reference no: EM132064344

Mod Inc. sells parts for $80 each. Fixed costs are $1,200 per year and variable costs are $65 per unit. If the initial investment is $6,600 and is expected to last for 5 years and the firm pays 35% taxes, what is the accounting and economic break-even level of sales respectively? The initial investment will be depreciated straight-line over 5 years to a final value of zero, and the discount rate is 12%. (without excel please)

Reference no: EM132064344

Questions Cloud

What was the total amount of new money raised : What was the total amount of new money raised? The rights issue gave the shareholder the opportunity to buy one new share for less than the market price.

Evaluate the validity of prophetic interpretation approach : Evaluate the validity of the "prophetic interpretation" approach to the letters to the seven churches.

Global supply chain management and international logistics : Answer the following questions from Global Supply Chain Management and International Logistics, Alan E. Branch

Create a falls program for an imaginary institution : You will work in groups of two and create a Falls Program for an imaginary institution. The choice of institution is yours to decide.

What is accounting and economic break-even level of sales : What is the accounting and economic break-even level of sales respectively?

How pavlovian conditioning is used to better understand : Discuss the variables that contribute to the strength of the conditioning, including: the manner in which the CS and US are paired.

Case study-mahindra and mahindra : Mahindra and Mahindra (M&M) is another of the largest private companies in India. Its farm equipment unit, the third largest producer of tractors

What types of source materials are using for research paper : Discuss what types of source materials you are using for your research paper (telehealthcare in nursing homes), and list one of the sources that you plan to use

Exploration of the java language and the eclipse environment : Software Development Lifecycle (CS-250) - Southern New Hampshire University - Using the source code given, update the simple list to your top five chosen

User Account

All Pages