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Spartan Coffee has computed its fixed costs to be $0.34 for every cup of coffee it sells given annual sales of 212,000 cups. The sales

Spartan Coffee has computed its fixed costs to be $0.34 for every cup of coffee it sells given annual sales of 212,000 cups. The sales price is $1.49 per cup while the variable cost per cup is $0.63. Depreciation is $56,920, and Operating Cash Flow where NPV equals zero is 94,244. The companys tax rate is 30%.

How many cups of coffee must it sell to break-even on an accounting basis?

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