Exhibit 10 BMC CORPORATION BAIANCE SHEET
FISCAL YEAR ENDING 12/31/2004
(DOLIARS IN

question 85

Multiple Choice

Exhibit 10.1
Use the Information Below for the Following Problem(S)
BMC CORPORATION INCOME STATEMENT
FISCAL YEAR ENDING 12/31/2004
(DOLLARS IN THOUSANDS)
$\begin{array}{l}\text { Net Sales } &&&&&&&&&&&&& \$ 1025 \\\text { Cost of Goods Sold } &&&&&&&&&&&&& \underline{682} \\\text { Gross Profit Margin } &&&&&&&&&&&&& 343 \\\text { Depreciation } &&&&&&&&&&&&& 31 \\\text { Operating Expense } &&&&&&&&&&&&& 103 \\\text { Administrative Expense } &&&&&&&&&&&&& \underline{127} \\\text { Operating Profit } &&&&&&&&&&&&& 82 \\\text { Interest } &&&&&&&&&&&&& \underline{27} \\\text { Profit Before Tax } &&&&&&&&&&&&& 55 \\\text { Taxes } &&&&&&&&&&&&& \underline{17} \\\text { Net Income } &&&&&&&&&&&&& \$ 38\end{array}$
BMC CORPORATION BAIANCE SHEET
FISCAL YEAR ENDING 12/31/2004
(DOLIARS IN THOUSANDS)

$\begin{array}{lrlr}\begin{array}{c}Assets\\Cash\\Accts rec\\Inventory\\\text{Ttl cur assts}\\\text{Net fixed assets}\\\\\\\\\\\text{Total assets}\\\\\end{array}\begin{array}{c}\$61\\286\\354\\\hline701\\ 802\\\hline\\\\\\\\\$ 1503\\\end{array}\begin{array}{c}Liabilities\\\text{Notes payable}\\\text{Accounts payable}\\Accruals\\\text{Total current liabilities}\\\text{Long term debt}\\\text{Common stock (\$1.50 par) }\\\text{Paid in surplus}\\\text{Retained earnings}\\\text{Total liabilities and}\\\text{Stockholders' equity}\\\\\end{array}\begin{array}{c}\$ 223 \\152 \\32 \\\hline 407\\306 \\102 \\226 \\462 \\\hline\\\$ 1503\end{array}\end{array}$
-Refer to Exhibit 10.1.What was BMC'S fixed asset turnover ratio?

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Definitions:

Preventive Maintenance

Scheduled maintenance activities designed to prevent equipment failures before they occur, aimed at reducing downtime and increasing reliability.

Breakdown Maintenance

involves repairs or adjustments made after equipment has failed, aiming to restore it to operational condition.

MTBF

"Mean Time Between Failures," a reliability measure for products indicating the average time between operational failures.