Multiple Choice
Given the following information: sales = $450, costs = $350, tax rate = 34%, retention ratio = 30%, production = 95% of capacity, sales increase = 10%. What is the expected addition to retained earnings? (Assume costs change directly with sales.)
A) $1.98
B) $11.22
C) $19.80
D) $21.78
E) $50.82
Correct Answer:
Verified
Correct Answer:
Verified
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