The Mini-Max Company Has the Following Cost Information on Its

question 1

Multiple Choice

The Mini-Max Company has the following cost information on its new prospective project.Calculate the present value break-even point. Initial investment: $700
Fixed costs are $200 per year
Variable costs: $3 per unit
Depreciation: $140 per year
Price: $8 per unit
Discount rate: 12%
Project life: 3 years
Tax rate: 34%

• A)68 units per year
• B)75 units per year
• C)84 units per year
• D)114 units per year
• E)None of the above

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Definitions:

Power Distance

A cultural dimension that describes the extent to which members of a society accept and expect power to be distributed unequally.

Individualism

A social theory favoring freedom of action for individuals over collective or state control.

Nonverbal Communication

The exchange of information or expression of feelings without words; includes gestures, facial expressions, and body language.

Gestures

Movements of the body, especially hands and head, used to communicate an idea or feeling.