A new project will allow you to sell a new product at $61 each. Variable costs are $24 each and fixedcosts would run $75,000 per year. If there is no initial investment required, how many units would youhave to sell annually to break-even (aka the "accounting break-even quantity")? (Round up to the nextwhole number of units.)O a. 1800O b. 2147O c. 2287O d. 1778Oe. 2028

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Answered: A new project will allow you to sell a…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Similar questions

COOR Ltd. is buying a new sewing machine for $9 000. It can be sold at the end of its 10 year service life for $800. The firm's MARR is 10%. What is the minimum annual savings that the machine must yield in order to break even on the investment? Select one: O A. $1 815 O B. $1 692 O C.$1 415 O D. $1 212 O E. $2 012
Your company is considering purchasing an expensive plece of equipment. The manufacturer of the equipment offers a payment plan to pay $100,000 annually for 4 years. Assuming no other cash flow, the first payment is due at the end of the first year, and an interest rate of 6%, the minimum Present amount of money you will need is most nearly O $370,000 O $380.000 O 390.000 O 5400,000 O 5410.000 O S420.000
i need answer in 30 mins please help
Find the What is the cC of initial cost 936,069$, annual costs of 42,230s, and recurring costs every 5 years of 94,1348 at IR 12% per year. "Enter the final value using +/- sign and without the currency." Example: -23.43 OR +23.43
To maintain a machine the company has to pay 3500$ annually for the 8 years, if the rate of interest is 9% what will be the present worth? Select one: a. 18840$ b. 19843$ c. 19372$
A factory costs $970,000. You reckon that it will produce an inflow after operating costs of $187,000 a year for 15 years. a. If the opportunity cost of capital is 11%, what is the net present value of the factory? (Do not round intermediate calculations. Round your answer to 2 decimal places.) b. What will the factory be worth at the end of eight years? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
1
Suppose a machine has a current resale price of $6000 and an annual operating and maintenance cost of $2000. Each additional year thereafter, the operating and maintenance cost increases by five hundred and the resale value falls by thirty percent. The firm has a MARR of 9%. Using marginal analysis, find the cost of keeping the machine for its fourth year of service. The answer is with $20 of 4182 4222 4262 4302 4342
Heer
A labor saving device system save $2.000 per year for five (5) years. It can be installed at a cost of $8,000. The rate of return on this planned investment is most nearly a. 12.36% b.i 10.36% Oc 10% Od. 9.36%
5
You have just been offered a contract worth $ 1.15 million per year for 7 years. However, to take the contract, you will need to purchase some new equipment. Your discount rate for this project is 12.4%. You are still negotiating the purchase price of the equipment. What is the most you can pay for the equipment and still have a positive NPV? Question content area bottom Part 1 The most you can pay for the equipment and achieve the 12.4% annual return is $ enter your response here million. Round to two decimal places.)

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