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6. Semo Booksellers, specializes in selling paperbacks for $10 each. The variable cost per book is $5. At current annual sales of 10,000 books, Semo

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6. Semo Booksellers, specializes in selling paperbacks for $10 each. The variable cost per book is $5. At current annual sales of 10,000 books, Semo Booksellers is just breaking even. Ceteris paribus, what will the EBIT be if the variable cost per book drops by $2? 7. Semo Publishing's tax rate is 40%, its beta is 1.30, and it uses no debt. However, the CFO is considering moving to a capital structure with 20% debt and 80% equity. What will the new beta be? 8. Semo Organics, Inc. has fixed cost of $100,000 and variable costs of $55 per unit. If it sells the product for $75 per unit, what is the break-even quantity and sales

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