Initial fixed asset investment and tax rate

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Consider a four-year project with the following information: initial fixed asset investment = $550,000; straight-line depreciation to zero over the four-year life; zero salvage value; price = $26; variable costs = $18; fixed costs = $190,000; quantity sold = 85,000 units; tax rate = 34 percent. How sensitive is OCF to changes in quantity sold? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.) ΔOCF/ΔQ $

Reference no: EM131055785

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