Please read the following article and answer the questions at the end. Please show all work! This is the last paper of the semester and I am really struggling with it.

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The Journal of Business Cases and Applications ? www.jbcaonline.org ? 77 ? Winter, 2009

A Change of Taste

Michael L. Garcia, The University of Tampa

Karen D. Squires, Accessible Continuing Education Solutions

ABSTRACT:

This case is a disguised real world event where students break-even analysis, introduce business valuation issues, fraud, and ethics. The case is appropriate for managerial accounting courses.

INTRODUCTION

I smiled to myself as I drove south on Interstate 95. I felt like I was joining the retiree migration to Florida. Like other retirees, I was moving back to my home town to be close to elderly relatives, long time friends and with a plan to buy a business to keep me busy and to supplement my retirement income. Many of my friends had their own businesses and were active in the local business community. One in particular, Mel Rivers, thought that he