ABC company is considering a new production line. The unit price is projected to be...
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ABC company is considering a new production line. The unit price is projected to be $7. The unit variable cost is $3. The fixed costs incurred each year are $200. Annual depreciation is $150. The initial investment is $1000. Assuming a tax rate of 30%, a 6-year project life, and a discount rate of 10%? What is the number of the product must be sold in order to be financial break-even?
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