Decaprio Incorporated produces and sells a single product. The company has provided its contribution format income statement for June. Sales (6,300 units) $ 220,500 Variable expenses 113,400 Contribution margin 107,100 Fixed expenses 88,100 Net operating income $ 19,000 If the company sells 6,500 units, its net operating income should be closest to

Carey company is borrowing $225,000 for one year at 9.5 percent from second intrastate bank. the bank requires a 15 percent compensating balance. the principal refers to funds the firm can effectively utilize (amount borrowed − compensating balance). a. what is the effective rate of interest? (use a 360-day year. input your answer as a percent rounded to 2 decimal places.) b. what would the effective rate be if carey were required to make 12 equal monthly payments to retire the loan?