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A Project Has a Contribution Margin of $5,projected Fixed Costs

Question 88

Multiple Choice

A project has a contribution margin of $5,projected fixed costs of $12,000,a projected variable cost per unit of $12,and a projected present value break-even point of 5,000 units. What is the operating cash flow at this level of output?


A) $1,000
B) $12,000
C) $13,000
D) $68,000
E) $73,000

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