Lusk Corporation produces and sells 15,900 units of Product X each month. The selling price of Product X is $29 per unit, and variable expenses are $23 per unit. A study has been made concerning whether Product X should be discontinued. The study shows that $71,000 of the $109,000 in monthly fixed expenses charged to Product X would not be avoidable even if the product was discontinued. If Product X is discontinued, the annual financial advantage (disadvantage) for the company of eliminating this product should be: Multiple Choice ($57,400) $13,600 $51,600 Wember Catering uses two measures of activity, jobs and meals, in the cost formulas in its budgets and performance reports. The cost formula for catering supplies is $400 per month plus $90 per job plus $10 per meal. A typical job involves serving a number of meals to guests at a corporate function or at a host's home. The company expected its activity in September to be 15 jobs and 145 meals, but the actual activity was 11 jobs and 142 meals. The actual cost for catering supplies in September was $2,710. The catering supplies in the planning budget for September would be closest to: Multiple Choice $3,110 $3,200 $2,710 Bau Long-Haul, Inc., is considering the purchase of a tractor-trailer that would cost $283,212, would have a useful life of 7 years, and would have no salvage value. The tractor-trailer would be used in the company's hauling business, resulting in additional net cash inflows of $82,500 per year. The internal rate of return on the investment in the tractor-trailer is closest to (Ignore income taxes.) Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using the tables provided. Multiple Choice 22% 16%