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Miller Tools is considering a new project that requires an initial investment of $81,300 for fixed...

Miller Tools is considering a new project that requires an initial investment of $81,300 for fixed assets, which will be depreciated straight line to zero over the projects 3 year life. The project is expected to have fixed costs of $37,600 a year, and a contribution margin of $18.40. The tax rate is 34 percent and the discount rate is 15 percent. What is the financial break even point. Need problem solved in excel. Answers 2,950, 4,217, 2,200, 2,483, 3,667 units

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Expert Solution

Hence, correct option is 4,217 units

jeff jeffy answered 2 years ago
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