Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

aily Enterprises is purchasing a $12,000,000 machine. The machine will be depreciated using straight-line depreciation over its 8 year life and will have no salvage

aily Enterprises is purchasing a $12,000,000 machine. The machine will be depreciated using straight-line depreciation over its 8 year life and will have no salvage value. The machine will generate revenues of $7,000,000 per year along with fixed costs of $3,500,000 per year. Find the Net Present value Break-even level of revenues, assuming the costs are all fixed costs. Enter your answer rounded to the nearest whole number. (NPV of the project is 6132597.93 and annual cash flows are 2920000)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Finance questions

Question

the distribution channel for medicine vending machine

Answered: 1 week ago

Question

Q .1. Different ways of testing the present adulterants ?

Answered: 1 week ago

Question

Q.1. Health issues caused by adulteration data ?

Answered: 1 week ago

Question

1. Traditional and modern methods of preserving food Articles ?

Answered: 1 week ago

Question

What is sociology and its nature ?

Answered: 1 week ago