What will be accounting and npv break-even levels of sales

Assignment Help Finance Basics
Reference no: EM13274716

Modern Artifacts can produce keepsakes that will be sold for $60 each. Nondepreciation fixed costs are $3,000 per year and variable costs are $30 per unit. a. If the project requires an initial investment of $3,000 and is expected to last for 5 years and the firm pays no taxes. The initial investment will be depreciated straight-line over 5 years to a final value of zero, and the discount rate is 10%. What are the accounting and NPV break-even levels of sales? (Do not round intermediate calculations. Round your answers to the nearest whole number.) Accounting break-even levels of sales = NPV break-even levels of sales = in n/r units b. What will be the accounting and NPV break-even levels of sales, if the firm's tax rate is 30%? (Do not round intermediate calculations. Round your answers to the nearest whole number.) Accounting break-even levels of sales = in n/r units NPV break-even levels of sales = in n/r units.

Reference no: EM13274716

Questions Cloud

Define how a phospholipid differs from other fatty acids : Describe how a phospholipid differs from other fatty acids. How does this difference allow the formation of a bilayer in an aqueous medium
What is sensitivity analysis and what is its purpose : Explain how simulation works what is the value in using a simultion approach. N. What is sensitivity analysis and what is its purpose?
Find the average speed of nitrous oxide molecule : What is the average speed in m/s of nitrous oxide molecule when the temp is 300K? The molar mass of oxygen is 0.032 kg/mol
Is the resistance with feedback higher or lower : For a particular amplifier connected in a feedback loop in which the output voltage is sampled, measurement of the output resistance before and after the loop is connected shows a change by a factor of 100.
What will be accounting and npv break-even levels of sales : Round your answers to the nearest whole number.) Accounting break-even levels of sales = in n/r units NPV break-even levels of sales = in n/r units.
What will the relative humiduty be at the lower temp : A sample of air at a temp of 298K has a relative humidity of 10%. If the temp of 1.00L of this air is decreased to 273K, what will the relative humiduty be at the lower temp
Compute the volume of naoh solution needed to neutralize : Calculate the volume of a 0.200 M NaOH solution needed to neutralize 40.0 mL of 0.600 M HNO3 solution.
What is the lowest gain and nominal gain require : A circuit designer requires a gain of 25 (+or -) 1% V/V using an amplifier whose gain varies by a factor of 10 over temperature and time. What is the lowest gain required. The nominal gain. The value of B(beta).
What is the relative humidity of the air : A 22-L sample of air at 298K contains 0.10 grams of water vapor. What is the relative humidity of the air

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the initial payment

After the first five years, the payments are to be adjusted so that the loan can be amortized over the remaining 25-year term. What is the initial payment? What will the balance be after 5 years?

  Find the expected stock price

Taylor Corporation's expected year-end dividend is $1.60, its required return is 11 percent, its dividend yield is 6 percent, and its growth rate is expected to be constant in the future.

  How can company improve its collection process on accounts

How can a company improve its collection process on accounts receivable. Offer multiple suggestions with explanation.

  Replacement of stocks in a portfolio

A shareholder has a $10,000 portfolio that is allocated as follows; short 100 shares of stock A, purchase 250 shares of B and 200 shares of 3. Any additional funds are borrowed at risk free rate of 0.04.

  What nominal annual interest rate is built

payable at the end of each month for 3 years. What nominal annual interest rate is built into the monthly payment plan?

  What is the economic rationale for a fee schedule

What is the economic rationale for a fee schedule that declines (in percentage terms) with increases in assets under management?

  Determine the arithmetic mean return

Downup corporation has the following return history, for the 1st six years, the stock went down 10 percent each year, then in the next 6-years the stock went up 15 percent each year

  Parity relationships and arbitrage

You're an expatriate working for Bank America in Hong Kong, and examine the following prices. Formulate arbitrage strategy to profit from the situation.

  What is the price of the stock today

Thirsty Cactus Corp. just paid a dividend of $1.30 per share. The dividends are expected to grow at 23 percent for the next eight years and then level off to a growth rate of 6 percent indefinitely. If the required return is 12 percent, what is th..

  What is the post-money valuation for the series d

Assuming that you own only the Series A preferred stock (and that each share of all series of preferred stock is convertible into one share of common stock), what percentage of the firm do you own after the last funding round?

  Briarcrest condiments

Briarcrest Condiments is a spice-making firm. Recently, it developed a new process for producing spices.

  Determine the countrys gdp in terms

Assume the GDP increases to 55 billion yen for this year, while the dollar value of one yen is now $0.01. Determine the country's GDP in terms of U.S. dollars for this year.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd