Question: c. Given a net present value of (b.), should the company accept or reject this project? d. find the net present value break-even level of

c. Given a net present value of (b.), should the company accept or reject this project?
d. find the net present value break-even level of units sold. round your answer to the nearest whole unit.
Question 2 2 points Number Help A company sells Tidbits to consumers at a price of $87 per unit. The cost to produce Tidbits is $41 per unit. The company will sell 13,000 Tidbits to consumers each year. The fixed costs incurred each year will be $210,000. There is an initial investment to produce the goods of $2,200,000 which will be depreciated straight line over the 12 year life of the investment to a salvage value of $0. The opportunity cost of capital is 13% and the tax rate is 32%. What is operating cash flow each year? 322507 Correct response: 322,506.671 Click "Verify" to proceed to the next part of the question. Using an operating cash flow f 322,506.67 each year, what is the NPV of this project? Number Click "Verify" to proceed to the next part of the
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
