KMW Incorporated sells finance textbooks for $166 each. The variable cost per book is $46 and the fixed cost per year is $31, 600. The process of creating a textbook costs $166,000 and the average book has a life span of three years. What is the economic or NPV break-even number of books that must be sold each year given a discount rate of 12 percent? Multiple Choice 260 225 839 304
KMW Incorporated sells finance textbooks for $166 each. The variable cost per book is $46 and the fixed cost per year is $31, 600. The process of creating a textbook costs $166,000 and the average book has a life span of three years. What is the economic or NPV break-even number of books that must be sold each year given a discount rate of 12 percent? Multiple Choice 260 225 839 304
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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KMW Incorporated sells finance textbooks for $166 each. The variable cost per book is $46 and the fixed cost per year is $31, 600. The process of creating a textbook costs $166,000 and the average book has a life span of three years. What is the economic or NPV break-even number of books that must be sold each year given a discount rate of 12 percent? Multiple Choice 260 225 839 304
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