Kesterson Corporation has provided the following information: Cost per Unit Cost per Period Direct materials $ 6.20 Direct labor $ 3.10 Variable manufacturing overhead $ 1.35 Fixed manufacturing overhead $ 14,000 Sales commissions $ 1.50 Variable administrative expense $ 0.40 Fixed selling and administrative expense $ 4,500 If the selling price is $21.90 per unit, the contribution margin per unit sold is closest to:

The owners of spokes bicycle shop worry that cash flow this winter may be insufficient to meet the current operating expenses. while they anticipate a surplus of cash inflow as warm weather approaches, they need funds now to meet the company's immediate obligations. the owners can best resolve cash flow concerns by obtaining financing.

Problem 9-5. net present value and taxes [lo 1, 2] penguin productions is evaluating a film project. the president of penguin estimates that the film will cost $20,000,000 to produce. in its first year, the film is expected to generate $16,500,000 in net revenue, after which the film will be released to video. video is expected to generate $10,000,000 in net revenue in its first year, $2,500,000 in its second year, and $1,000,000 in its third year. for tax purposes, amortization of the cost of the film will be $12,000,000 in year 1 and $8,000,000 in year 2. the company’s tax rate is 35 percent, and the company requires a 12 percent rate of return on its films. required what is the net present value of the film project? to simplify, assume that all outlays to produce the film occur at time 0. should the company produce the film?

If a government accumulates chronic budget deficits over time, what's one possible result? a. a collective action problem b. a debt crisis c. regulatory capture d. an unfunded liability