Consider a four-year project with the following information: initial fixed asset investment = $490682; straight-line depreciation...

Consider a four-year project with the following information: initial fixed asset investment = $490682; straight-line depreciation to zero over the four-year life; zero salvage value; price = $34; variable costs = $24; fixed costs = $196864; quantity sold = 79583 units; tax rate = 32 percent. Calculate the sensitivity of the OCF to changes in the quantity sold.

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jeff jeffy answered 1 month ago

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