Given the forecasted data, determine the number of planes that the company must produce in...

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Finance

Given the forecasted data, determine the number of planes that the company must produce in order to break even, on both accounting basis and NPV basis. The 12-year project initial investment is $1,000 million, each plane sold for $25 million, the variable cost is $12 million each plane, the fixed cost is $250 million, the depreciation uses straight-line method, tax rate is 40% and the companys cost of capital is 11%.

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