QUESTION 39 Spacely Company sells sprockets for $25. The following is the projected income statement for 2015. Variable costs are the cost of the sprockets, $10 each, plus a 10% sales commission paid to the worker Sales $200,000 Cost of Goods Sold 80.000 Gross Margin 120,000 Operating Expenses Salaries and Commissions 50,000 Rent 24,000 Other Fixed Expenses 8.750 Total Operating Expenses 82.750 Net Income $ 37.250 The sales (in dollars) of sprockets necessary to make $150,000 per year is approximately A. $405,500 B. $425,500 C. none of these D. $500,000 E. $350,000 QUESTION 40 A 7-year, $1,000,000 zero coupon bond is priced to yield 9%. The amount the issuing company will receive when it is issued is: A. $ 547,034.24 B. $ 621,921.32 C. $ 543,933.74 D. None of the above E. $1,000,000.00