Cash break-even analysis
Course:- Financial Management
Reference No.:- EM13976207

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Cash break-even analysis [LO2]

Air Purifier Inc. computes its break-even point strictly on the basis of cash expenditures related to fixed costs. Its total fixed costs are $2,450,000, but 15 percent of this value is represented by depreciation. Its contribution margin (price minus variable cost) for each unit is $40. How many units does the firm need to sell to reach the cash break-even point? (Round your answer to the nearest whole number.)

Cash break-even point _________ units

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