A group of venture investors is considering putting money into Lemma Books, which wants to produce a new reader for electronic books. The variable cost per unit is estimated at $200, the sales price would be set at 1.4 times the VC unit (P=1.4VC), and fixed costs are estimated at $750,000 per year. a. Find the break-even quantity b. The investors will put up the funds if the project is likely to have a profit of $500,000 or more. What sales: volume (quantity) would be required in order to meet the minimum profit goal? You are tasked to see how debt financing impacts equity required return for SBC Inc. The unlevered Beta is 0.90 and tax rate is 25%. The market value of the firm is $400,000,000, while debt is $150,000,000 with equity being the remainder. c. Find the D/E ratio d. Find the levered Beta for SBC