Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Basic Finance Expert

problem: You are considering a new product launch. The project will cost dollar 870,000, have a four year life, and have no salvage value; depreciation is straight line to zero. Sales & projected at 210 units per year; value per unit will be dollar 20,000. Variable cost per unit will be dollar 16,000, & fixed costs will be dollar 348,000 per year. The required return on the project is 15%, & the relevant tax rate is 36%.

The cash breakeven level of output for this project [ignore all taxes] is _______ units.  [Give your answers to two decimal places]

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M917866

Have any Question? 


Related Questions in Basic Finance

Ethical dilemma- cindy and jack have always practiced good

Ethical Dilemma - Cindy and Jack have always practiced good financial habits, in particular, developing and living by a budget. They are currently in the market to purchase a new car and have budgeted $300 per month for ...

In 2013 the lissa company paid dividends of 10000000 on

In 2013, the Lissa Company paid dividends of $10,000,000 on after-tax income (cash flow) of $25,000,000. Capital budget projects totaled $15,000,000 in 2013.   2013 was a normal year for earnings, dividends, and capital ...

1 mr and mrs jones ages 40 and 38 have no dependents and

1. Mr. and Mrs. Jones, ages 40 and 38, have no dependents and plan to file a joint tax return for the year. They have salary income of $70,000, dividend income of $2,300, hobby loss of $1,700, and deductions for adjusted ...

1 how do commercial banks obtain their funds what is

1. How do commercial banks obtain their funds? What is financial restructuring advising? The following is an excerpt from the 2009 Annual Report of Bank of America (p. 24): Through our banking and various nonbanking subs ...

1 how can strategic procurement contribute to the quality

1. How can strategic procurement contribute to the quality of products produced by a manufacturing organization? 2. Explain the rationale underlying volume consolidation. What are the risks associated with using a single ...

Explain why examining the earnings quality is important in

Explain why examining the earnings quality is important in valuation even though one uses cash flows for valuing projects and firms.

Assume the time from acceptance to maturity on a 2000000

Assume the time from acceptance to maturity on a $2000,000 banker's acceptance is 90 days. Further assume that the importing bank's acceptance commission is 1.25 percent and that the market rate for 90 dya b/a's is 7%. D ...

1 some people purposely ignore a bill and put it out of

1. Some people purposely ignore a bill and put it out of their minds in order to avoid the stress associated with it. Other people pay their bills immediately because they worry that they might forget about paying them. ...

What distinguishes the free cash flow of a firm from its

What distinguishes the free cash flow of a firm from its cash flow from operations? What is the relation between EBITDA and cash flow from operations? How can a negative free cash flow be considered good news? How can a ...

Beverages is negotiating a lease on a new piece of

Beverages is negotiating a lease on a new piece of equipment that would cost $100,000 if purchased. The equipment falls into the MACRS 3-year class, and it would be used for 3 years and then sold, because the firm plans ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro