Thompson's has determined that a new project is expected to have fixed costs of $132,378, a

contribution margin of $36.20, and a tax rate of 34 percent. The investment has an initial cost of

$548,000 that will be depreciated straight-line to zero over the 5-year life of the project. The EAC

should be based on 5 years at 15 percent. What is the expected present value break-even point in units

per year?

A. 8,939

B. 9,046

C. 9,331

D. 9,849

E. 9,615