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We are evaluating a project that costs $ 8 3 6 , 6 3 6 , has an eight - year life, and has no

We are evaluating a project that costs $836,636, has an eight-year life, and has no salvage value. Assume that depreciation is straight-line to zero over the life of the project. Sales are projected at 55,027 units per year. Price per unit is $40, variable cost per unit is $15, and fixed costs are $423,091 per year. The tax rate is 35%, and we require a return of 19% on this project.
In dollar terms, what is the sensitivity of OCF to changes in the variable cost per unit projection? (Round answer to 2 decimal places. Do not round intermediate calculations)

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