Consider a project with the following information: initial investment $2,000,000; straight-line depreciation to zero over...
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Consider a project with the following information: initial investment $2,000,000; straight-line depreciation to zero over five-year life; $100,000 salvage value; price per unit $720; variable cost per unit $540; annual fixed costs $450,000; annual quantity sold 13,000 units; Tax Rate 21%. What is the sensitivity rate of Operating Cash Flow to fixed costs? Express your answer in dollars and cents. Show any negative values with a minus (-) sign.Consider a project with the following information: initial investment $2,000,000; straight-line depreciation to zero over five-year life; $100,000 salvage value; price per unit $720; variable cost per unit $540; annual fixed costs $450,000; annual quantity sold 13,000 units; Tax Rate 21%. What is the sensitivity rate of Operating Cash Flow to fixed costs? Express your answer in dollars and cents. Show any negative values with a minus (-) sign.
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