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A clothes manufacturer makes garments that can be sold at $50 each. The cost of production is $15. The fixed cost and other expenses are

A clothes manufacturer makes garments that can be sold at $50 each. The cost of production is $15. The fixed cost and other expenses are $100,000. The required cutting; stitching machines cost $500,000 and is depreciated straight line over 5 years with 0 salvage value. Calculate the accounting & NPV breakeven. assuming a tax rate of 35%, a 5 year project life and a discount rate of 8%

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