Dime a dozen diamonds | Business & Finance homework help

Dime a Dozen Diamonds makes synthetic diamonds by treating carbon. Each diamond can be sold for $140.00; the materials cost for a standard diamond is $40.00; the fixed costs incurred each year for factory upkeep and administrative expenses are $216,000; the machinery costs $2.5 million and is depreciated straight-line over 10 years to a salvage value of zero. A) what is the accounting break-even level of sales in terms of number of diamonds sold? B) what is the NPV break-even level of sales assuming a tax rate of 35%, a 10-year project life, and a discount rate of 12%?

Don't use plagiarized sources. Get Your Custom Essay on
Dime a dozen diamonds | Business & Finance homework help
Just from $13/Page
Order Essay
Calculator

Calculate the price of your paper

Total price:$26
Our features

We've got everything to become your favourite writing service

Need a better grade?
We've got you covered.

Order your paper