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Arrow Pharmacy has the following information related to a new project: Initial investment: $1,200,000; Fixed costs: $300,000; Variable costs: $12.30 per unit; Selling price: $31.98
Arrow Pharmacy has the following information related to a new project: Initial investment: $1,200,000; Fixed costs: $300,000; Variable costs: $12.30 per unit; Selling price: $31.98 per unit; Discount rate: 13 percent; Project life: 8 years; Tax rate: 25 percent. Fixed assets are depreciated using straight-line depreciation over the project's life. What is the financial break-even point?
28,308 units | ||
27,465 units | ||
26,377 units | ||
25,748 units | ||
29,645 units |
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