Based on market values, Gubler's Gym has an equity multiplier of 1.55 times. Shareholders require a return of 11.27 percent on the company's stock and a pretax return of 4.93 percent on the company's debt. The company is evaluating a new project that has the same risk as the company itself. The project will generate annual aftertax cash flows of $295,000 per year for 8 years. The tax rate is 39 percent. What is the most the company would be willing to spend today on the project? Multiple Choice $1,631,539 $1,901,399 $1,532,093 $1,584,924 $1,673,723

Alpine west, inc., operates a downhill ski area near lake tahoe, california. an all-day, adult ticket can be purchased for $55. adult customers also can purchase a season pass that entitles the pass holder to ski any day during the season, which typically runs from december 1 through april 30. the season pass is nontransferable, and the $450 price is nonrefundable. alpine expects its season pass holders to use their passes equally throughout the season. the company’s fiscal year ends on december 31. on november 6, 2009, jake lawson purchased a season ticket. required: 1. when should alpine west recognize revenue from the sale of its season passes? 2. prepare the appropriate journal entries that alpine would record on november 6 and december 31. 3. what will be included in the 2009 income statement and 2009 balance sheet related to the sale of the season pass to jake lawson?