A company sells Tidbits to consumers at a price of $111 per unit. The costs to produce Tidbits is $27 per unit. The company will sell 20,000 Tidbits to consumers each year. The fixed costs incurred each year will be $250,000. There is an initial investment to produce the goods of $2,000,000 which will be depreciated straight line over 17 year life of the investment to a salvage value of $0. The opportunity cost of capital is 10% and the tax rate is 25%.

a. What is operating cash flow each year?

b. using an operating cash flow of (a.) each year, what is the NPV of this project?

c. Given a net present value of (b.), should the company accept or reject this project?

d. find the net present value break-even level of units sold. round your answer to the nearest whole unit.