Javier is the business manager of his college. in his role, javier makes a lot of business decisions. javier is currently considering installing a vending machine in one of the dorms for soft drinks. the machine rents for $200 a month and the electrical use is minimal. javier can buy soft drinks for $.25 each and plans on charging $.75 each from the vending machine. what is the contribution margin on the soft drinks? . currently, the machine has a sales volume of 400 cans a month. javier thinks raising the price to $.80 will not have any effect on sales. what impact would raising the price to $.80 have on overall profit or loss? a. profit of $100b. profit of $200c. profit of $320d. profit of $20

Burke enterprises is considering a machine costing $30 billion that will result in initial after-tax cash savings of $3.7 billion at the end of the first year, and these savings will grow at a rate of 2 percent per year for 11 years. after 11 years, the company can sell the parts for $5 billion. burke has a target debt/equity ratio of 1.2, a beta of 1.79. you estimate that the return on the market is 7.5% and t-bills are currently yielding 2.5%. burke has two issuances of bonds outstanding. the first has 200,000 bonds trading at 98% of par, with coupons of 5%, face of $1000, and maturity of 5 years. the second has 500,000 bonds trading at par, with coupons of 7.5%, face of $1000, and maturity of 12 years. kate, the ceo, usually applies an adjustment factor to the discount rate of +2 for such highly innovative projects. should the company take on the project?