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Brush Park Distillery has purchased a new bottling equipment to produce a new line of bourbon. The line has a cost of $525,000. The machine
Brush Park Distillery has purchased a new bottling equipment to produce a new line of bourbon. The line has a cost of $525,000. The machine has an economic life of 6 years and will be depreciated in a straight line with no salvage value. The bourbon will sell for $75 while the variable costs is $32 Fixed costs associated with the project are $280,000. Assume a tax rate of 21% and cost of capital of 8%. What in the financial break even
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