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1) A project has the following information: Price is $62 per unit, variable cost is $41 per unit, fixed costs is $15500, required return is
1) A project has the following information:
Price is $62 per unit, variable cost is $41 per unit, fixed costs is $15500, required return is 12%, initial investment $24000, project life is 4 years.Ignoring taxes,
a)What's accounting breakeven?
b)What's cash breakeven?
c)What's financial breakeven?
d)What's the OCF (payment) when NPV =0?
e)What's DOL at this OCF level?
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