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business lice Save Homework: Chapter 13 Homework Score: 0 of 3 pts 2 of 2 (0 complete) HW Score: 0%, 0 of 9 pts Question
business lice Save Homework: Chapter 13 Homework Score: 0 of 3 pts 2 of 2 (0 complete) HW Score: 0%, 0 of 9 pts Question Help P13-11 (similar to) (Break-even analysis) Niece Equipment Rentals of Del Valle, Texas, has recently boon approached about the prospect of purchasing a large construction crane The crane rents for $460 an hour but operator fan insurance and mescolas expenses run $204 an hour when the crane is in use. The company owner estimates that it will cost $980 a month to store and maintain the crane and the annual depreciation expense is $48,000 a. Calculate the accounting break even number of annual rental hours needed to produce zero operating earnings from the crane (before taxes b. Calculate the cash break even point if we ignore non-cash expenses such as depreciation in the break-even calculation, how many hours must the crane te rented in order to break even on a cash basis? c. Why do we have two different break-even points? What does each one tell you? a. The accounting break even umuts of production shours (Round to the nearest whole number Enter your answer in the answer box and then click Check Answer Clear parts 2 2 remaining 12:13 PM 1/2000 O Type here to search SAMSUNG Deere WT End F12 F11 F Lock F10 F8 F9 F7 FG F5 F4 F2 FY F3 1 ESC ) - Back LOOL $ 4 96 5 A 6 C 9 & 7 O 8 3 2 1 7 We O P R T Y U W E 4
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