A Project Has the Following Estimated Data: Price = $150

question 410

Multiple Choice

A project has the following estimated data: price = $150 per unit; variable costs = $88 per unit; fixed costs = $250,000; required return = 11%; initial investment = $200,000; $50,000 salvage value; life =
Ten years. What is the financial break-even quantity?

• A) 4,032 units.
• B) 4,274 units.
• C) 4,532 units.
• D) 4,784 units.
• E) 4,955 units.

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Definitions:

Need Theories

Psychological theories that suggest human behavior is motivated by the desire to fulfill specific basic needs, such as physiological, safety, social, esteem, and self-actualization needs.

Universality

The concept that certain principles, ideas, or traits are common, applicable, or beneficial across all cultures, situations, or groups.

Cultures

The shared values, beliefs, norms, and practices of a group of people that are passed down from generation to generation.

Power Distance

The extent to which an unequal distribution of power is accepted by society members.