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@caspian087 said:
not decrease in Sale %…

It asked decrease in sales VOLUME to get 0 NPV

Cool.. Hope I pass!

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@caspian087 said:
I think it was 13 or 31%

Sales sens.= NPV/ contrubition

I guess it asked for decrease in Sales % to get NPV 0

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@caspian087 said:
It asks sales volume sensitivity

It was 7.7% (based on my calculations)

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What was that 4% Treasury bills UK rate?
My WACC is 6.9%
My bad.. I have done all the calculations right except cost of equity

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Even I got the same answer for question 5!!
$23 and 600 to be made internally, and what answer did you get for variance mix and yield?

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Question 5 – Total cost for manufacturing X in house is $23
And 600 should be produced in house and 200 should be purchased

And what is the variances for question 1? If any one remember?

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