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4. You are ten years from retirement, You want to take exotic vacations for twelve years ate each cost $10,000. Realizing you will be on a fixed income, you want to purchase an vacation funds. You approach your investment ad investment for which you will make 10 annual payments to fund the annuity.Ihe the 10 earn a 5% return. How much are your 10 annual pay t visor at Quack Finance Services. They offer to sell you an annuity invested amount will earn an 8% return for nce you reach retirement, they will pay out the $10,000 for twelve years. The mo ney not yet disbursed will years ments into the fund until retirement. 5. Tony Manero Men's Suits manufactures and sells men's suits. Their trademark bright yellow leisure suit is seen in Disco Halls throughout the world. Each suit sells for $600 and has variable costs of $100 per suit. Monthly fixed costs are $100,000. a. b. c. How many suits does Tony have to sell each month to breakeven? What is Tony's operating leverage on the sale of 800 suits? Tony is considering p monthly increase in fixed costs by $10,000 per year urchasinga automated sewing machine that will lower his variable costs by 25% but has a d. With the new sewing machine, how many suits does Tony have to manufacture and sell to break even? and Fido are siblings and each has a company three companies competing in the same market. Each company 6. Bubba, Sissy, has earnings before interest and taxes of s100,000. Each company has total assets of S1,000,000. Bubba has financed his ses 50% debt and 50% equity; while Fido uses all equity to finance their assets. The equity portion of their company is funded with $1000 shares of 90% debt and 10% equity: Sissy u company Interest is common stock 5% nall debt and the tax rate is 20%. a. List the companies from 1 to 3 in their degree of financial leverase. b. Calculate the degree of financial leverage. c. Calculate EPS for each company