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Seivewright Cobbler, Inc

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Seivewright Cobbler, Inc.can produce shoes that will be sold for $160 each.Non-depreciated fixed costs are $2,000 per year and variable costs are $120 per unit.If the project requires an initial investment of $6,000 and is expected to last for 5 years and the firm pays no taxes, what are the accounting and NPV break-even levels of sales?


Definitions:

PEST Analysis

A strategic business tool used to identify, analyze, and monitor the macro-environmental factors that may have a profound impact on an organization's performance.

Tax Rates

The percentages at which individuals or entities are taxed on their income, property, or sales.

Operating Systems

Software that manages computer hardware, software resources, and provides common services for computer programs.

Integrated Technology Platforms

Common operating systems that can be used across multiple computers connected through the Internet.

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