Mosler Company is considering a project requiring an initial investment of $229,700,fixed costs of $71,900,variable costs of $5.07 per unit,a selling price of $13.07 per unit,and a life of 4 years.The discount rate is 14 percent,and the tax rate is 30 percent.Depreciation is straight-line to zero over the project's life.What is the accounting breakeven point?
A) 15,008 units
B) 13,200 units
C) 16,166 units
D) 11,302 units
E) 17,352 units
Correct Answer:
Verified
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