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Problem 1:
Surf Bicycles Inc. Will manufacture and sell 200,000 units next year. Fixed costs will total $500,000, and variable costs will be 60% of sales. The bicycles will sell for $200 each.
The firm wants to achieve a level of earnings before interest and taxes of $250,000. How many units must they sell to achieve that result?
Problem 2:
Alpha Electronics has the following income statement:
Sales
400,000
Total variable costs
240,000
Contribution margin
160,000
Fixed costs
140,000
EBIT
20,000
Calculate the new EBIT and percent change, assuming:
1. Sales increase by 20%
2. Sales decrease by 20%
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Unsure of the outcome of the lawsuit, Leona sells 300 shares of the stock for $5,400 on October 12, 2010. What is her recognized gain or loss on the sale of the Ross stock?
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"Anonymous Whistle-blowing is never morally justified because it violates the rights of the accused to their accusers." Is this statement is true, according to the utilitarian theory? Carefully explain the theory and be specific.
Simon Tam is negotiating passage on Serenity as a clandestine fugitive from the planet Persephone. He is told that the 184 million kilometre trip to Osiris will cost $3,230. Alternatively, he can take a 344 million kilometre trip to Bellerophon, but ..
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1. Enabling legislation must be passed by an administrative agency before it begins any administrative activities. 2. Most administrative agencies do not have rule-making or adjudicatory powers.
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