A project has the following estimated data: price $=$$$82$ per unit; variable costs

$=$$$36\mathrm{.}90$ per unit; fixed costs $=$$$5,200$; required return $=11$ percent; initial

investment $=$$$13,000$; life $=$ three years. Ignore the effect of taxes.

a$.$ What is the accounting break$-$even quantity?

Accounting break$-$even

quantity

b$.$ What is the cash break$-$even quantity?

Cash break$-$even

quantity

c$.$ What is the financial break$-$even quantity?

Financial break$-$even

quantity

d$.$ What is the degree of operating leverage at the financial break$-$even level of

output?

DOL