1. If a hacker penetrates a company’s website, should the company report the attack and a damage estimate to law enforcement officials? Why or why not? Should the company report the attack to anyone else outside of law enforcement officials? If so, to whom, and why?
2. Should footnote disclosure be made or be required to be made in the financial statements, especially for publicly listed firms, about the potential of cyberattacks on a Company’s business operations when there have been no material cyberattacks against the Company in the related (last) financial reporting period? Explain in detail.

Meile Machine Shop, Inc., has a 1-year contract for the production of 200,000 gear housings for a new off-road vehicle. Owner Larry Meile hopes the contract will be extended and the volume increased next year. Meile has developed costs for three alternatives. They are general-purpose equipment (GPE), flexible manufacturing system (FMS), and expensive, but efficient, dedicated machine (DM). The cost data follow: General- Flexible Purpose Manufacturing Dedicated System (FMS) Equipment (GPE) Machine (DM) Annual contracted units 200,000 200,000 200,000 Annual fixed cost $100,000 $200,000 $500,000 Per unit variable cost $ 15.00 $ 14.00 $ 13.00 Which process is best for this contract?