Home / Expert Answers / Finance / un-brite-has-a-new-pair-of-sunglasses-it-is-evaluating-the-company-expects-to-sell-7-100-pairs-of-pa587

(Solved): un Brite has a new pair of sunglasses it is evaluating. The company expects to sell 7,100 pairs of ...




un Brite has a new pair of sunglasses it is evaluating. The company expects to sell 7,100 pairs of sunglasses at a price of \
un Brite has a new pair of sunglasses it is evaluating. The company expects to sell 7,100 pairs of sunglasses at a price of \( \$ 166 \) each and a variable cost i\$118 each. The equipment necessary for the project will cost \( \$ 370.000 \) and will be depreciated on a straight-line basis over the 6-year life of the roject. Fixed costs are \( \$ 320.000 \) per year and the tax rate is 22 percent. How sensitive is the operating cash flow to a \( \$ 1 \) increase in variable costs per Jairs of sunglasses? Multiple Choice \( -\$ 6153 \) \( \$ 5,538 \) \( -54,994 \) \( -55538 \) 54,984


We have an Answer from Expert

View Expert Answer

Expert Answer


depreciation = Cost / Useful life depreciation=3
We have an Answer from Expert

Buy This Answer $5

Place Order

We Provide Services Across The Globe