19. Dizzy Companys Asian Division employed capital of $250,000 last year. If the weighted average cost of capital is 15 percent and if last years after-tax income was $50,000, calculate the Asian Division economic value added (EVA) for last year.

A. $2,500

B. $37,500

C. $12,500

D. $7,500

20. What statement below best describe the concept of break-even?

A. total revenue equals total cost

B. profit equals zero

C. contribution margin equals total fixed cost

D. all of the above are true

21. Which equation below is the correct method to calculate contribution margin?

A. sales minus cost of goods sold

B. sales minus total variable costs

C. sales minus total variable manufacturing costs

D. sales minus total variable manufacturing costs and total fixed manufacturing costs