Question 1 5 out of 5 points Find the accounting break even given the following information: Project Initial Outlay is $5,000 with straight line depreciation; Project Life = 5 Years; Discount Rate = 10%._Total Production Costs =FC + VC = $15,000 per year; Variable Costs = $2 per unit; Unit Sales = 4,000 units, Price = $5 per unit, and Ignore Taxes. Selected Answer: 2,667 Units Correct Answer: 2,667 Units Question 2 0 out of 5 points You have a piece of land you are considering developing. You will either build a residential | apartment complex or a shopping mall. The estimated cash flows for the two projects are illustrated below. For simplicity, we will assume that each development only has a five year life. Year Park Place Apartments Boardwalk Mall 3 4 0 -$17,000,000 -$17,000,000 1 8,000,000 2,000,000 2 7,000,000 5,000,000 5,000,000 9,000,000 3,000,000 9,500,000 5 2,500,000 2,500,000 At what rate of return are you indifferent between these two developments? Selected Answer: There is not enough information to work this problem. We need a discount rate. Correct Answer: 12.18 Percent