#1 and #5 for reference. Please answer #3, #5, #6, #8.

1. Assume that a company's annual sales are 40 units at $20 each. Its variable costs are $10 per unit, fixed costs are $100 per year, and depreciation is $100 per year. What is the accounting breakeven point in units?

2. What is the accounting breakeven point in dollars?

3. What is the cash breakeven point in units?

4. What is the cash breakeven point in dollars?

5. Assume that $300 was invested in the project initially, that the annual operating information described above is true over a five-year period, and that the required rate of return is 10 percent. What is the financial breakeven point in units?

6. What is the financial breakeven point in dollars?

7. For the same company, what is the degree of operating leverage?

8. Based on the degree of operating leverage, if sales were to increase by 30 percent, what would be the percentage increase in operating cash flow?