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Consider a project with the following information: initial investment $1,800,000; straight-line depreciation to zero over five-year life; $130,000 salvage value; price per unit $550; variable
Consider a project with the following information: initial investment $1,800,000; straight-line depreciation to zero over five-year life; $130,000 salvage value; price per unit $550; variable cost per unit $340; annual fixed costs $425,000; annual quantity sold 12,500 units; Tax Rate 21%. What is the sensitivity rate of Operating Cash Flow to units sold? Express your answer in dollars and cents.
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