Question: A project has the following estimated data: price=$68 per unit; variable costs=$39 per unit; fixed costs=$19,300; required return =12 percent; initial investment=$26,800; life=four years. Assume

A project has the following estimated data: price=$68 per unit; variable costs=$39 per unit; fixed costs=$19,300; required return =12 percent; initial investment=$26,800; life=four years. Assume no salvage value. Depreciation is straight-line to zero over the life of project. a. What is the accounting break-even quantity? If the project breaks even on an accounting basis, find the NPV and IRR.

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