Question: Consider a four-year project with the following information: initial fixed asset investment =$494,000, straight-line depreciation to zero over the four year life, zero salvage value,
Consider a four-year project with the following information: initial fixed asset investment =$494,000, straight-line depreciation to zero over the four year life, zero salvage value, price =$45; variable costs =$38, fixed costs =$214,000, quantity sold =103,000 units, tax rate =34%. How sensitive is OCF to changes in quantity sold? (Do not round intermediate calculations. Round the final answer to 2 decimal places. Omit $ sign in your response.) OCF/Q$
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