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A project has the following estimated data: price = $52 per unit; variable costs = $34 per unit; fixed costs = $23,500; required return = 12 percent; initial investment = $30,000; life = three years.

A) Ignoring the effect of taxes, what is the accounting break-even quantity?
B) What is the cash break-even quantity?
C)What is the financial break-even quantity?
D)What is the degree of operating leverage at the financial break-even level of output?

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Category:- Basic Finance
Reference No.:- M9859837

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