P11-17 Sensitivity Analysis (LO1) Consider a project with a life of 6 years with the...

90.2K

Verified Solution

Question

Finance

image
P11-17 Sensitivity Analysis (LO1) Consider a project with a life of 6 years with the following information: initial fixed asset investment = $480,000; straight-line depreciation to zero over the 6-year life; zero salvage value; price = $31; variable costs = $19; fixed costs = $244,800; quantity sold = 122,400 units; tax rate = 24 percent. How sensitive is OCF to changes in quantity sold? Multiple Choice $10 $0.11 $6.48

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