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A Project Has a Contribution Margin Per Unit of $12

Question 98

Multiple Choice
A project has a contribution margin per unit of $12.07, fixed costs of $67,840, depreciation of $14,310, variable costs per unit of $14.09, and a financial break-even point of 15,624 units. What is the operating cash flow at this level of output?
A) $0
B) $122,500
C) $102,309
D) $120,742
E) $117,673

A project has a contribution margin per unit of $12.07, fixed costs of $67,840, depreciation of $14,310, variable costs per unit of $14.09, and a financial break-even point of 15,624 units. What is the operating cash flow at this level of output?


A) $0
B) $122,500
C) $102,309
D) $120,742
E) $117,673

Correct Answer:

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