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A Project Has a Contribution Margin of €5, Projected fiXed

question 63

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A project has a contribution margin of €5, projected fixed costs of €12,000, projected variable cost per unit of €12, and a projected present value break-even point of 5,000 units.What is the
Operating cash flow at this level of output?


Definitions:

Satisfaction

The fulfillment of one's wishes, expectations, or needs, or the pleasure derived from this fulfillment.

Consumer

A person or collective who buys products or services for their own consumption.

Diminishing Marginal Utility

The principle that as a person consumes more of a product, there is a decline in the additional satisfaction or utility that person derives from consuming one more unit of the product.

Total Utility

The total satisfaction received by a consumer from consuming a particular quantity of goods or services.

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