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Question $30$

Consider a $5-$year project with an initial fixed asset investment of $$324,000,$ straight$-$line depreciation to zero over the project's life, a salvage value of zero, a selling price of $$34,$ variable costs of $$17,$ fixed costs of $$189,700,$ a sales quantity of $94,000$ units, and a tax rate of $21$ percent. What is the sensitivity of OCF to changes in the sales price?

$$59,470$ per $$1$ of sales

$$74,260$ per $$1$ of sales

$$78,700$ per $$1$ of sales

$$61,600$ per $$1$ of sales

D

$$ $$68,850$ per $$1$ of sales