We are evaluating a project that costs $630,700, has a seven-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 90,000 units per year. price per unit is $46, variable cost per unit is $33, and fixed costs are $720,000 per year. the tax rate is 25 percent, and we require a return of 10 percent on this project.

a-1.
calculate the accounting break-even point. (do not round intermediate calculations and round your answer to the nearest whole number, e. g., 32.)

a-2. what is the degree of operating leverage at the accounting break-even point? (do not round intermediate calculations and round your answer to 3 decimal places, e. g., 32.161.)
b-1. calculate the base-case cash flow and npv. (do not round intermediate calculations. round your cash flow answer to the nearest whole number, e. g., 32. round your npv answer to 2 decimal places, e. g., 32.16.)
b-2. what is the sensitivity of npv to changes in the quantity sold? (do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.)

Which change is illustrated by the shift taking place on this graph? an increase in demanda decrease in demandan increase in supplya decrease in supply

Suppose that hubert, an economist from an am talk radio program, and kate, an economist from a nonprofit organization on the west coast, are arguing over government bailouts. the following dialogue shows an excerpt from their debate: kate: to recent financial crises, the concept of bailouts is a hot topic for debate among everyone these days. hubert: indeed, it’s gotten crazy! a government bailout of severely distressed financial firms is unnecessary because free markets will properly price assets. kate: i don’t know about that. without a bailout of severely distressed financial firms, the economy will experience a deep recession. the disagreement between these economists is most likely due todifferences in scientific judgments . despite their differences, with which proposition are two economists chosen at random most likely to agree? business managers can raise profit more easily by reducing costs than by raising revenue. central banks should focus more on maintaining low unemployment than on maintaining low inflation. employers should not be restricted from outsourcing work to foreign nations

Consider the scenario below and let us know if you believe lauren smith's actions to be ethical. let us know why or why not. lauren smith is the controller for sports central, a chain of sporting goods stores. she has been asked to recommend a site for a new store. lauren has an uncle who owns a shopping plaza in the area of town where the new store is to be located, so she decides to contact her uncle about leasing space in his plaza. lauren also contacted several other shopping plazas and malls, but her uncle’s store turned out to be the most economical place to lease. therefore, lauren recommended locating the new store in her uncle’s shopping plaza. in making her recommendation to management, she did not disclose that her uncle owns the shopping plaza. if management decided to go with lauren's uncle's plaza, what additional information would be needed in the financial statements?