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FIN 370 Week 3 Risk and Return Problem Sets ( 7-21,7-27,8- 19,8-21,9-33 )
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1 . Calculating Costs and Break-Even [ LO3 ] Night Shades , Inc . ( NSI ), manufactures biotech sunglasses . The variable materials cost is $ 9.64 per unit , and the variable labor cost is $ 8.63 per unit . a . What is the variable cost per unit ? b . Suppose NSI incurs fixed costs of $ 915,000 during a year in which total production is 215,000 units . What are the total costs for the year ? c . If the selling price is $ 39.99 per unit , does NSI break even on a cash basis ? If depreciation is $ 465,000 per year , what is the accounting break-even point ?
7 . Calculating Break-Even [ LO3 ] In each of the following cases , calculate the accounting break-even and the cash break-even points . Ignore any tax effects in calculating the cash break-even . ============================================

FIN 370 Week 3 Risk and Return Problem Sets ( 7-21,7-27,8- 19,8-21,9-33 )

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FIN 370 Week 3 Risk and Return Problem Sets
Complete the following problem sets from Chapter 7 in Microsoft ® Excel ®:
· 7-21
· 7-27