Solution-What is the accounting break-even quantity

What is the accounting break-even quantity

Reference no: EM132497744

A project has the following estimated data: Price = $74 per unit; variable costs = $47 per unit; fixed costs = $22,500; required return = 8 percent; initial investment = $24,000; life = three years.

a. Ignoring the effect of taxes, what is the accounting break-even quantity? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

b. What is the cash break-even quantity? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

c. What is the financial break-even quantity? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

d. What is the degree of operating leverage at the financial break-even level of output? (Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161.)

Reference no: EM132497744

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What is the accounting break-even quantity

Reference no: EM132497744

Reference no: EM132497744

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