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Question 24 (1 point) Your large company invested $1.5 million in a machine that will be depreciated straight-line to zero over the five-year life with
Question 24 (1 point) Your large company invested $1.5 million in a machine that will be depreciated straight-line to zero over the five-year life with zero salvage value. This machine produces widget that can be sold for $64 with variable costs of $32 each. Fixed costs are $100,000 and the tax rate is 21%. If projected sales are 13000 units, what is the sensitivity of operating cash flow to a one dollar change in sales price? (change in OCF / change in price) $13,000$6,800$1,820$10,270($1,820)
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