Main input is priced $50 / unit
All other costs are in (Fixed cost = $2,000,000, Variable cost = $ 37.5/unit)
Depreciation = $ 625,000
Expects to sell 50,000 clothes this year at $ 187.5 each
Tax rate = 30%; assume tax credits are available for immediate use if losses occur
Question: How many units do Billabong need to sell to break-even in operating cash flow?