Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. dime a dozen diamonds makes synthetic diamonds by

Dime a Dozen Diamonds makes synthetic diamonds by treating carbon. Each diamond can be sold...

60.1K

Verified Solution

Question

Finance

image

Dime a Dozen Diamonds makes synthetic diamonds by treating carbon. Each diamond can be sold for $140. The materials cost for a standard diamond is $40. The fixed costs incurred each year for factory upkeep and administrative expenses are $210,000. The machinery costs $1.8 million and is depreciated straight line over 10 years to a salvage value of zero. a. What is the accounting break-even level of sales in terms of number of diamonds sold? (Do not round intermediate calculations.) b. What is the NPV break-even level of diamonds sold per year assuming a tax rate of 21%, a 10-year project life, and a discount rate of 14%? (Do not round intermediate calculations. Round your answer to the nearest whole number.) a. Break-even sales diamonds per year diamonds per year b. Break-even sales

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Complete the table by substituting in the given x values into the function below For...

Basic Math
Q

A manager at a company that manufactures cell phones has noticed that the number of faulty...

Basic Math
Q

1) What is the mechanism responsible for the pumping process ? 2) Explain how a filter feeding...

Biology
Q

What does Friedman believe is the sole social responsibility of business? Granted this view, what is...

Psychology
Q

Fundamentals of Engineering Thermodynamics By Michael J.Moran 8th edition 5.83)Two kilograms of air within a piston-cylinder assembly execute...

Mechanical Engineering
Q

A power plant operates on a regenerative vapor power cycle with one open feedwater heater. Steam...

Mechanical Engineering
Q

Of the following which is not a viable target for antibiotic therapy O Peptidoglycan synthesis...

Biology
Q

The number of molecules in one litre of gas 25 at temperature 27 C and...

Physics
Q

13 discharging graph In YDSE D 10 m d 1 mm and fringe width of...

Physics
Q

Total personal income of the country in billions of dollars for selected years from 1960...

Algebra
Q

5 2i

Algebra
Q

What additional information is needed to calculate the return on investment if income from operations...

Accounting