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We are evaluating a project that costs $845,000, has an eight-year life, and has no salvage value. Assume that depreciation is straight-line to zero over

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We are evaluating a project that costs $845,000, 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 51.000 units per year. Price per unit is $53. variable cost per unit is $27, and fixed costs are $950.000 per year. The tax rate is 22 percent, and we require a return of 10 percent on this project. a. Calculate the accounting break-even point. (Do not round Intermedlate calculations and round your answer to 2 declmal pleces, e.g., 32.16.) b-1. Calculate the base-case cash flow and NPV. (Do not round Intermedlate calculations and round your answers to 2 decimal places, e.g., 32.16.) b-2. What is the sensitivity of NPV to changes in the sales figure? (Do not round Intermedlate calculations and round your answer to 2 declmal places, e.g.., 32.16. c. What is the sensitivity of OCF to changes in the variable cost figure? (A negetlve answer should be Indlcated by a minus slgn. Do not round Intermedlate calculatlons and round your answer to the nearest whole number, e.g., 32.) (x) Answer is complete but not entirely correct

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