Cervetti Corporation has two major business segments-East and West. In July, the East business segment had sales revenues of $350,000, variable expenses of $190,000, and traceable fixed expenses of $42,000. During the same month, the West business segment had sales revenues of $1,020,000, variable expenses of $524,000, and traceable fixed expenses of $195,000. The common fixed expenses totaled $298,000 and were allocated as follows: $149,000 to the East business segment and $149,000 to the West business segment. The contribution margin of the West business segment is:

a. $496 000
b. $(35,000)
c. $669,000
d. $118,000

Which of the following statements is correct? a. two firms with identical sales and operating costs but with different amounts of debt and tax rates will have different operating incomes by definition. b. free cash flow (fcf) is, essentially, the cash flow that is available for interest and dividends after the company has made the investments in current and fixed assets that are necessary to sustain ongoing operations. c. retained earnings as reported on the balance sheet represent cash and, therefore, are available to distribute to stockholders as dividends or any other required cash payments to creditors and suppliers. d. if a firm is reporting its income in accordance with generally accepted accounting principles, then its net income as reported on the income statement should be equal to its free cash flow. e. after-tax operating income is calculated as ebit(1 - t) + depreciation.

Match each of the terms below with an example that fits the term. a. fungibility the production of gasoline b. inelasticity the switch from coffee to tea c. non-excludability the provision of national defense d. substitution the demand for cigarettes

Bill dukes has $100,000 invested in a 2-stock portfolio. $62,500 is invested in stock x and the remainder is invested in stock y. x's beta is 1.50 and y's beta is 0.70. what is the portfolio's beta? do not round your intermediate calculations. round the final answer to 2 decimal places.