Owners of a company would prefer use of FIFO costing in a period of declining costs because it would minimize taxes paid.

Regulation D of the Securities Act of 1933 provides a private placement exemption from registration of a securities offering. Federal securities laws and regulations are violated if the securities are sold

A. For longer than a 6-month period. B. In an immediate unregistered reoffering to the public. C. To 25 nonaccredited investors. D. To no more than 35 accredited investors.

If sales increase 25%, EBIT increases 50%, debt increases 75%, and working capital increases 12.5%, what is the degree of operating leverage?

A) 2 B) 5 C) 3 D) 6 E) 4