The Quorum Company Has a Prospective 6-Year Project That Requires

question 40

Multiple Choice

The Quorum Company has a prospective 6-year project that requires initial fixed assets costing $962,000,annual fixed costs of $403,400,variable costs per unit of $123.60,a sales price per unit of $249,a discount rate of 14 percent,and a tax rate of 21 percent.What is the present value break-even point in units per year?

• A)6,081
• B)4,995
• C)5,375
• D)6,144
• E)5,852

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Definitions:

Contingency Management

A behavioral therapy approach that rewards individuals for demonstrating desired behaviors or achieving specific goals.

Nondepressive Activities

Activities undertaken to promote psychological well-being or alleviate symptoms of depression, focusing on lifting mood and increasing engagement with life.

Providing Sympathy

The act of showing understanding and compassion towards another person’s suffering or hardships.

Irrational Thoughts

Thoughts that are not based on reason or logic, and often stem from misconceptions, fears, or misunderstandings.