 # Verily value expects to sell 12000 units 2 percent

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63)Verily Value expects to sell 12,000 units, ±2 percent.The expected variable cost per unit is \$9, ±3 percent, and theexpected fixed costs are \$25,000, ±1 percent. Thedepreciation expense is \$7,500. The sale price is estimated at\$24 a unit, ±2 percent. What is the sales revenue under theoptimistic case scenario?Version 125 View full document
64)The Muffin Tin expects to sell 2,000 units, ±10percent. The expected variable cost per unit is \$4, ±3 percent,and the expected fixed costs are \$9,500, ±1 percent. Thedepreciation expense is \$5,400. The sale price is estimated at\$12 a unit, ±3 percent. The company is conducting asensitivity analysis on thesales price using a salesprice estimate of \$12.35.What will be the earningsbefore interest and taxes? View full document
65)You are considering a new project with depreciation of\$962, fixed costs of 5,000, and a sales price of \$13.49. Thevariable cost per unit is \$6.26. Ignore taxes. What is theaccounting break-evenlevel of production? View full document
66)The accounting break-even production quantity for aproject is 7,209 units. The fixed costs are \$34,780, and thecontribution margin is \$11. Assume a zero tax rate. What isthe projected depreciationexpense?A)\$43,600B)\$45,050C)\$44,519D)\$47,053E)\$47,143
67)A project has anaccounting break-evenpoint of 3,800 units. TheVersion 126
fixed costs are \$3,208, and the projected variable cost per unitis \$16.42. The project requires an initial investment in fixedassets of \$840 that will be depreciated straight-line to zeroover the 4-year life of theproject. What is theprojected sales price givena zero tax rate? View full document
68)A proposed project has fixed costs of \$132,400,depreciation expense of \$53,620, and a sales quantity of 7,350units. Ignore taxes. What is the contribution margin if theprojected level of sales isthe accounting break-evenpoint? View full document
69)A project has a contribution margin of \$13.27,projected fixed costs of \$78,900, projected variable costs perunit of \$9, and a projected financial break-even point of16,230 units. The depreciation expense is \$36,200, and the taxrate is 35 percent. What is the operating cash flow at this levelof output? View full document  ## Want to read all 44 pages?

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