A Project Has a Contribution Margin of $6, Projected fiXed

question 254

Multiple Choice

A project has a contribution margin of $6, projected fixed costs of $14,000, projected variable cost per unit of $14, and a projected financial break-even point of 6,000 units. What is the operating
Cash flow at this level of output?

• A) $22,000
• B) $34,000
• C) $46,000
• D) $62,000
• E) $70,000

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