Assume a project with a
life of one year has projected depreciation of $720, fixed costs of $6,000, and
total sales of $11,760 at a sales quantity of 300 units. The variable cost per
unit is $17.40. What is the accounting break-even level of production? ?????
a. 312 units
b. 298 units
OC. 292 units
d. 309 units
e. 301 units
A number of publicly
traded firms pay no dividends yet investors are willing to buy shares in these
firms. How is this possible? Does this violate our basic principle of stock
valuation? Explain.
Answer:
Why do corporations
issue 100-year bonds, knowing that interest rate risk is highest for very
long-term bonds? How does the interest rate risk affect the issuer?
Answer:
