The company incurs costs of $27.7 million regardless of the output level. It sells 5.68 million units of its product at the price of $8.79, and its total variable costs are $10.20 million. The company has $49 million of debt with an annual interest rate of 4.34%. What is the EBIT break-even point in sales dollars, in $ millions, to the nearest $0.01 million? Drop the $ symbol. E.g., if your answer is $26,666,667, record it as 26.67
The company incurs costs of $27.7 million regardless of the output level. It sells 5.68 million units of its product at the price of $8.79, and its total variable costs are $10.20 million. The company has $49 million of debt with an annual interest rate of 4.34%. What is the EBIT break-even point in sales dollars, in $ millions, to the nearest $0.01 million? Drop the $ symbol. E.g., if your answer is $26,666,667, record it as 26.67
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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The company incurs costs of $27.7 million regardless of the output level. It sells 5.68 million units of its product at the price of $8.79, and its total variable costs are $10.20 million. The company has $49 million of debt with an annual interest rate of 4.34%. What is the EBIT break-even point in sales dollars, in $ millions, to the nearest $0.01 million? Drop the $ symbol. E.g., if your answer is $26,666,667, record it as 26.67.
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