Webster Iron Works started a new project last year. As it turns out, the project has been operating at its accounting break-even

Which of the following values will be equal to zero when a firm is producing the accounting break-even level of output? I. operating cash flow II. internal rate of return III. net income IV. payback period    A.  I only B.  III only C.  II and III only D.  I and IV only E.  I, II, and III only Refer to section 11.3

39.

An increase in which of the following will increase the accounting break-even quantity? Assume straight-line depreciation is used. I. annual salary for the firm's president II. contribution margin per unit III. cost of equipment required by a project IV. variable cost per unit    A.  I and III only B.  I and IV only C.  II and III only D.  I, III, and IV only E.  I, II, and IV only Refer to section 11.3

40.

Webster Iron Works started a new project last year. As it turns out, the project has been operating at its accounting break-even level of output and is now expected to continue at that level over its lifetime. Given this, you know that the project:    A.  will never pay back. B.  has a zero net present value. C.  is operating at a higher level than if it were operating at its cash break-even level. D.  is operating at a higher level than if it were operating at its financial break-even level. E.  is lowering the total net income of the firm. Refer to section 11.3