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7. (5pts) A project for KeyKat Enterprises, LLC has the following data estimated. These are scenarios for the product they will sell. - Price =$62/

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7. (5pts) A project for KeyKat Enterprises, LLC has the following data estimated. These are scenarios for the product they will sell. - Price =$62/ unit - Variable Costs =$41/ unit - Fixed costs =$15,500 - Required Return =12% - Investment =$24,000,4year life depreciated straight-line to $0 value. a) Find the Sales units that deliver the ACCOUNTING BREAK-EVEN. Where NI= $0. Where Net Income =$0, then Q=(FC+Depr)/(Pv) b) What is the degree of operating leverage at this accounting BE sales level? c) Find the Sales units that deliver the CASH BREAK-EVEN. Where OCF =$0 Where OCF=$0, then Q=FC/(Pv) d) What is the degree of operating leverage at this cash BE sales level? d) What is the degree of operating leverage at this cash BE sales level? e) Find the Sales units that deliver the FINANCIAL BREAK-EVEN. Where NPV =$0, Find the PV of OCF that = investment Then Q=(OCF+FC)/(Pv) f) What is the degree of operating leverage at this financial BE sales level

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