Question: in 4 Assignment Saved Help Sav a. We are evaluating a project that costs $604,000, has an 8-year life, and has no salvage value. Assume

 in 4 Assignment Saved Help Sav a. We are evaluating a

in 4 Assignment Saved Help Sav a. We are evaluating a project that costs $604,000, has an 8-year life, and has no salvage value. Assume that depreciation is straight-line to zero over the life of the project. Sales are projected at 55,000 units per year. Price per unit is $36, variable cost per unit is $17. and fixed costs are $685,000 per year. The tax rate is 21 percent and we require a retum of 15 percent on this project. Calculate the accounting break-even point. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g.. 32.) b-1. Calculate the base-case cash flow and NPV. (Do not round intermediate calculations and round your NPV answer to 2 decimal places, e.g. 32.16.) b-2. What is the sensitivity of NPV to changes in the sales figure? (Do not round intermediate calculations and round your answer to 3 decimal places, e.g.. 32.161.) What is the sensitivity of OCF to changes in the variable cost figure? (A negative answer should be indicated by a minus sign. Do not round Intermediate calculations and round your answer to the nearest whole number, e.g. 32) pped Book c. erences units Break-even point b-1. Cash flow NPV b-2. ANPVIAC C. AOCFIAVC

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