Question: Consider a project with the following information: Initial fixed asset investment - $550,000; straight-line depreciation to zero over the 4-year life; zero salvage value; price
Consider a project with the following information: Initial fixed asset investment - $550,000; straight-line depreciation to zero over the 4-year life; zero salvage value; price = $54; variable costs = $35; fixed costs = $228,000, quantity sold = 116,000 units: tax rate = 23 percent. How sensitive is OCF to changes in quantity sold? (Do not round, intermediate calculations and round your answer to 2 decimal places, e.g., 32,16.) AOCFIA
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