e$.1\mathrm{.}59$

Question $10$

Incorrect

Mark $0\mathrm{.}00$ out of $1\mathrm{.}00$

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A $3-$year project requires an initial investment in equipment of $$6,400$ which can then be amortized straight$-$line to zero over the life of the project. The project will increase annual sales units by $3100$ and sales revenue by $$71,000.$ Total variable cost will increase by $$20,000$ and fixed costs by $$6,000.$ The required rate of return on the project is $11\mathrm{.}10\%.$ What minimum annual level of sales revenue must be achieved to break$-$even from an accounting perspective?

a$.$ $$25,894x$

b$.$ $$17,263$

c$.$ $$8,353$

d$.$ $$5,569$

e$.$ $$11,323$

Question $11$

Incorrect

Mark $0\mathrm{.}00$ out of $1\mathrm{.}00$

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In the upcoming year ABC Ltd$.$ is forecasted to sell $30,000$ units of its product at a price per unit of $$32\mathrm{.}00.$ Variable costs per unit are $$11\mathrm{.}00$ and the annual fixed costs are $$22,200.$ Each of these four variables could be $10\%$ higher or lower than forecasted. ABC also has annual depreciation expenses of $$39,600$ and a $42\%$ tax rate. What is ABC $\text{'}$s net income $($after$-$tax$)$ under the worstcase scenario?

a$.$ $$224,390$

b$.$ $$449,686$

c$.$ $$263,990$

$?$

d $$322106$