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1. break-even analvis To be profitabie, a firm must recover its coste. These cous inclube both its fised and is vachable costs. One way that

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1. break-even analvis To be profitabie, a firm must recover its coste. These cous inclube both its fised and is vachable costs. One way that a firm evaluates at what stage it weuld recover the invested conts is to calculate how many unta or how much in solar sales a necentary for the firm to earn a profit. centider the case of Fetrax os co: Fetrox on CO, is considering a profect that ind have foed costs of 512,000,000, The profuct will be sold for 132.50 per unit, and will incur a variable cost of $12.30 per vert. Given Peroa's cost structure, it will have to ses units to break eves on thas project (QRB. 175.000 units, what proce frust it tet bo brtak tvent? 4si.st per unit 399.51 per unit \$7, 64 per unit $72.50 per unat What affects the firm's eperming breah-even point? felowing tatie, indicate whether these actors esuld increase, decreash, or iesve unchanged a frims break-even euantity-assuming thot only the isted factor chenpes and at ether relevant factors remain tonstant. When wher thans are held cosatan, the hivhe a firm s operatifg leverabe, the business rak. well te its

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