Question: A project has the following estimated data: price = $89 per unit: variable costs = $48.95 per unit; fixed costs = $7,900; required return =

A project has the following estimated data: price = $89 per unit: variable costs = $48.95 per unit; fixed costs = $7,900; required return = 8 percent; initial investment = $13,000; life = five years. Ignore the effect of taxes. a. What is the accounting break-even quantity? b. What is the cash break-even quantity? c. What is the financial break-even quantity? d. What is the degree of operating leverage at the financial break-even level of output

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