Question: The Coffee Express has computed its fixed costs to be $0.34 for every cup of coffee it sells given annual sales of 212,000 cups. Depreciation
The Coffee Express has computed its fixed costs to be $0.34 for every cup of coffee it sells given annual sales of 212,000 cups. Depreciation is $56,920, and Operating Cash Flow where NPV equals zero is 94,244. The sales price is $1.49 per cup while the variable cost per cup is $0.63. The companys tax rate is 30%. How many cups of coffee must it sell to break-even on a financial basis? NOT ACCOUNTING
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