Changes in quantity sold


Consider a four-year project with the following information: Initial fixed asset investment=$380,000; Stright-line depreciation to zero over the four-year life; zero salvage value; price= $54; variable costs= $42; fixed costs= $185,000; quanity sold = $90,000 units; tax rate= 34 percent. How sensitive is OCF to changes in quantity sold?

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Finance Basics: Changes in quantity sold
Reference No:- TGS044100

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