CCC proposes to invest $12 million in a new calculator plant that will depreciate on a...
CCC proposes to invest $12 million in a new calculator plant that will depreciate on a straight-line basis. Fixed costs are $3 milli per year. a calculator cost $10 per unit to manufacture and sells for $30 per unit. If plant lasts for four years and the cost of capital is 20%, what is the accounting break-even lvl of annual sales? (no taxes)
300,000 units
150,000 units
381,777 units
750,000 units
366,667 units
I know the formula is (FC+D)/P-V but what is D and how do you get it?
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CCC proposes to invest $12 million in a new calculator plant
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