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Given the following information: Sales per unit: $80 VC per unit: $25 FC: $1,000,000 Tax rate: 21% Rate: 10% Equipment costs: $800,000 Machine life: 5
Given the following information:
Sales per unit: $80
VC per unit: $25
FC: $1,000,000
Tax rate: 21%
Rate: 10%
Equipment costs: $800,000 Machine life: 5 years
Depreciation: straight-line
Calculate the equivalent annual cost of the machine. (Round to 2 decimals)
Calculate the financial break-even number of units for the project. (Round to 2 decimals)
Calculate the accounting break-even number of units for the project. (Round to 2 decimals)
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