Hassan, an undocumented worker employed by Robco Warehouse, is routinely harassed because of his Middle Eastern ancestry. His supervisors and co-workers often refer to him as a terrorist and call him "Taliban." He complains to the management about the harassment and after a few days, his supervisor conducts an investigation and finds out that Hassan is an illegal alien. This information is relayed to the Immigration and Naturalization Service (INS). Which of the following is the Equal Employment Opportunity Commission (EEOC) most likely to conclude? a) Hassan does not have a claim of discrimination because the Fair Labor Standards Act does not protect undocumented workers from abuse. b) Hassan has a claim of discrimination because the Immigration Reform and Control Act does not allow discrimination in favor of U. S. citizens as against illegal aliens. c) Robco Warehouse will be liable if the company acquired information on Hassan's status through a retaliatory investigation. d) Robco Warehouse is not liable because the Immigration Reform and Control Act does not prohibit discrimination on the basis of citizenship under any circumstances.

Shrieves casting company is considering adding a new line to its product mix, and the capital budgeting analysis is being conducted by sidney johnson, a recently graduated mba. the production line would be set up in unused space in the main plant. the machinery’s invoice price would be approximately $200,000, another $10,000 in shipping charges would be required, and it would cost an additional $30,000 to install the equipment. the machinery has an economic life of 4 years, and shrieves has obtained a special tax ruling that places the equipment in the macrs 3-year class. the machinery is expected to have a salvage value of $25,000 after 4 years of use. the new line would generate incremental sales of 1,250 units per year for 4 years at an incremental cost of $100 per unit in the first year, excluding depreciation. each unit can be sold for $200 in the first year. the sales price and cost are both expected to increase by 3% per year due to inflation. further, to handle the new line, the firm’s net working capital would have to increase by an amount equal to 12% of sales revenues. the firm’s tax rate is 40%, and its overall weighted average cost of capital, which is the risk-adjusted cost of capital for an average project (r), is 10%. define “incremental cash flow.” (1) should you subtract interest expense or dividends when calculating project cash flow?