A manufacturer of tiling grout has supplied the following data: Kilograms produced and sold 380,000Sales revenue$2,736,000Variable manufacturing expense$1,349,000Fixed manufacturing expense$336,000Variable selling and administrative expense$399,000Fixed selling and administrative expense$372,000Net operating income$280,000 The company's degree of operating leverage is closest to:
A. 1.36
B. 9.77
C. 3.53
D. 2.47
Answer: C
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Windy Company has taxable income before DRD of $200,000. Included in that amount is a $10,000 dividend from a domestic corporation owned 10% by Windy and a $20,000 dividend from a domestic corporation owned 60% by Windy. What is the taxable income of Windy Company?
A. $183,500. B. $170,000. C. $187,000. D. $182,000.
You are a finance intern at Chambers and Sons and they have asked you to help estimate the company's cost of common equity. You obtained the following data: D1 = $1.25; P0 = $27.50; gL = 5.00% (constant); and F = 6.00%. What is the cost of equity raised by selling new common stock?
A. 9.06% B. 9.44% C. 9.84% D. 10.23% E. 10.64%
IsaK Corp. is an event management company. In order to allot tasks that are more compatible with the personalities of individual employees, it conducts a test that rates them on the scales of introversion or extroversion, sensing or intuition, judging or perceiving, and thinking or feeling. Which of the following tests is IsaK using to assess employees?
A. The Eysenck Personality Questionnaire B. The Strong Interest Inventory C. The Myers-Briggs Type Indicator D. The Big Five Personality Test E. The Rorschach inkblot test
Research and development expense for a given period includes:
A. Depreciation on a research and development facility. B. The full cost of newly acquired equipment that has an alternative future use. C. Patent filing and legal costs. D. Research and development conducted on a contract basis for another entity.