A manufacturer of tiling grout has supplied the following data: Kilograms produced and sold 340,000
Sales revenue $1,910,000
Variable manufacturing expense $956,000
Fixed manufacturing expense $258,000
Variable selling and administrative expense $363,000
Fixed selling and administrative expense $224,000
Net operating income $109,000
The company's contribution margin ratio is closest to:.
(A) 49.9%
(B) 81.0%
(C) 30.9%
(D) 74.8%

Your company is starting a new r& d initiative: a development of a new drug that dramatically reduces the addiction to smoking. the expert team estimates the probability of developing the drug succesfully at 60% and a chance of losing the investment of 40%. if the project is successful, your company would earn profits (after deducting the investment) of 9,000 (thousand usd). if the development is unsuccessful, the whole investment will be lost -1,000 (thousand usd). your company's risk preference is given by the expected utility function: u(x) v1000 +x, where x is the monetary outcome of a project. calculate the expected profit of the project . calculate the expected utility of the project . find the certainty equivalent of this r& d initiative . find the risk premium of this r& d initiative e is the company risk-averse, risk-loving or risk-neutral? why do you think so?