Problem
• Explain the strength and weaknesses of NPV, payback, IRR, and profitability index.
• Explain two reasons why NPV profiles cross.
• Define additional funds needed (AFN) and explain how to calculate it.
• Describe the capital structure, business risk, and financial risk and explain how they are different.
• UWA co. has a fixed operating cost of $30,000 and a variable cost of $7 per unit. Calculate the break-even quantity when it sells its product for $15 per unit. You must show your equation and the final answer for full credits.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.