Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. a company is considering a 5-year project that ope

A company is considering a 5-year project that opens a new product line and requires...

80.2K

Verified Solution

Question

Finance

image

A company is considering a 5-year project that opens a new product line and requires an initial outlay of $80,000. The assumed selling price is $91 per unit, and the variable cost is $54 per unit. Fixed costs not including depreciation are $23,000 per year. Assume depreciation is calculated using stright-line down to zero salvage value. If the required rate of return is 13% per year, what is the accounting break-even point? (Answer to the nearest whole unit.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Physics
1.2K views

108 cm 4 1 058 x 108 cm 65 The ratio of radius 2nd 4th...

Advance Math
1.2K views

Please round to the nearest cent for all answers. --------------------------------------------------------------------------------- Compare the monthly payment and total payment for...

Biology
1.2K views

Lab 09 Amino Acids and Proteins 1 The Biuret test b Were there any differences...

Physics
1.2K views

Consider a conical pendulum in which a small sphere of mass m revolves in uniform...

Statistics
1.2K views

When she was 9 years of age a girl did a science fair ex right...

Statistics
1.2K views

Each person has a 75% probability of going to the Tahoe restaurant. You randomly select...

Calculus
1.2K views

Let a and b be real numbers The following system of equations can have exactly...

Algebra
1.2K views

The graph of the function f is shown to the right Match the function gix...

Accounting
1.2K views

A 45-day Treasury bill has a discount rate of 6.50%. A 235-day Treasury bill has...

Accounting
1.2K views

Reviewing insurance policies revealed that a single policy was purchased on August 1, for one...

Accounting
1.2K views

QUESTION 24 Of the following foods, which would be the only food source of vitamin...

Accounting
1.2K views

Genuine Spice Inc. began operations on January 1 of the current year. The company produces...