Modern Artifacts can produce keepsakes that will be sold for $60 each. Non-depreciation fixed costs...

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Finance

Modern Artifacts can produce keepsakes that will be sold for $60 each. Non-depreciation fixed costs are $2,200 per year, and variable costs are $30 per unit. The initial investment of $4,000 will be depreciated straight-line over its useful life of 5 years to a final value of zero, and the discount rate is 14%.

a.

What is the accounting break-even level of sales if the firm pays no taxes? (Do not round intermediate calculations. Round your answer to the nearest whole number.)

Acounting break-even level of sales units
b.

What is the NPV break-even level of sales if the firm pays no taxes? (Do not round intermediate calculations. Round your answer to the nearest whole number.)

NPV break-even level of sales units
c. What is the accounting break-even level of sales if the firms tax rate is 30%? (Do not round intermediate calculations. Round your answer to the nearest whole number.)
Accounting break-even level of sales units
d.

What is the NPV break-even level of sales if the firms tax rate is 30%? (Do not round intermediate calculations. Round your answer to the nearest whole number.)

NPV break-even level of sales units

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