A firm with cyclical earnings is characterized

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Reference no: EM132040402

1. A firm with cyclical earnings is characterized by

A. revenue patterns that vary with the business cycle.

B. high levels of debt in their capital structure.

C. high fixed costs.

D. high price per unit.

E. low contribution margins.

2. Javier has decided to put $2,000 a year (at the end of each year) into an IRA over his 40-year working life and then retire. What will Javier have in 40 years (rounded to the nearest dollar) if the account will earn 10.00%, compounded annually?

A. $19,558

B. $885,185

C. $973,704

D. $1,038,071

E. $1,625,217

Reference no: EM132040402

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