Question: Consider the following cases: Case Unit Price Unit Variable Cost Fixed Costs Depreciation 1 $ 5,000 $ 3,750 $ 17,000,000 $ 6,800,000 2 39 29.64
Consider the following cases: Case Unit Price Unit Variable Cost Fixed Costs Depreciation 1 $ 5,000 $ 3,750 $ 17,000,000 $ 6,800,000 2 39 29.64 17,000 34,000 3 9 3.38 900 630 Ignore any tax effects in calculating the cash break-even. Requirement 1: (a) Calculate the cash break-even point of Case 1. (Do not round your intermediate calculations.) (b) Calculate the accounting break-even point of Case 1. (Do not round your intermediate calculations.) Requirement 2: (a) Calculate the cash break-even point of Case 2. (Do not round your intermediate calculations.) (b) Calculate the accounting break-even point of Case 2. (Do not round your intermediate calculations.) Requirement 3: (a) Calculate the cash break-even point of Case 3. (Do not round your intermediate calculations.) (b) Calculate the accounting break-even point of Case 3.
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