You manufacture hand sanitizer. Sales are projected at 15,500 hand sanitizer per year over the next four years. It will cost you $44,000 to install the equipment necessary to start production; youll depreciate this cost straight-line to zero over the projects life. You estimate that, in four years, this equipment can be salvaged for $32,000. Your fixed production costs will be $65,000 per year, price per unit is $7, and your variable production costs should be $1.50 per unit ($0.50 per unit in variable material costs and $1 per unit in variable labor expense). You also need an initial investment in net working capital of $90,000. You require a return of 9 percent on your investment. Ignore taxes (tax rate is 0%).

Find the accounting break-even.