An investment has an initial investment of $210,000 for fixed assets that will be depreciated straight-line to zero over 4 years, which is the life of the project. The sales price is set at $19.95 a unit, the annual fixed costs are $237,000, and the variable cost per unit is $8.87. The tax rate is 22 percent and the discount rate is 11 percent. At what sales quantity per year will the investment break even on a financial basis?

A.

28,096 units

B.

29,787 units

C.

29,143 units

D.

27,886 units