The Highlight Company is reviewing a proposed 7-year project with an initial cost of $687,400.The annual fixed costs are $92,800,the variable cost per unit is $49.79,and the sales price per unit is $89.The tax rate is 21 percent and the discount rate is 12 percent.All assets are depreciated straight-line over the life of the project.What is the accounting break-even point in units per year?
A) 6,518
B) 3,069
C) 5,475
D) 6,103
E) 4,872
Correct Answer:
Verified
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