Question: Consider a project with the following data: accounting break even quantity=5,500 units; cash break even quantity =5,000 units; life= eight years; fixed costs=$140,000; variable costs
Consider a project with the following data: accounting break even quantity=5,500 units; cash break even quantity =5,000 units; life= eight years; fixed costs=$140,000; variable costs =$22 per unit; required return=12 percent. Ignoring the effect of taxes, find the financial break even quantity. Please show steps.
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