Question: 2 . What is the financial break - even value of net operating profits after taxes for Wilson's Sailing Co . given the information below

2. What is the financial break-even value of net operating profits after taxes for Wilson's
Sailing Co. given the information below on a new prospective project?
Initial investment: $500K
NWC = $0
Fixed costs are $100K per year
Depreciation: $50K per year
Variable costs: $5 per unit
Price: $10 per unit
Discount rate: 10%
Project life: 2 years
Tax rate: 40%
A. $288,095
B. $230,476
C. $480,075
D. $96,045
E. None of the abov

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