In an Effort to Capture the Large Jet Market,Hiro Airplanes

question 18

Multiple Choice

In an effort to capture the large jet market,Hiro Airplanes invested $12.68 billion developing its B490,which is capable of carrying 800 passengers.The plane has a list price of $275 million.In discussing the plane,Hiro Airplanes stated that the company would break-even when 246 B490s were sold.Assume the break-even sales figure given is the cash flow break-even.Suppose the sales of the B490 last for only 9 years.How many airplanes must Hiro Airplanes sell per year to provide its shareholders a 19 percent rate of return on this investment?

• A)47.17
• B)52.48
• C)59.09
• D)63.10
• E)68.40

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Definitions:

Law Of Independent Assortment

The Mendelian principle that genes controlling different traits are inherited independently of one another.

Mendel

Gregor Mendel, a 19th-century scientist and Augustinian monk known as the father of genetics for his work on the inheritance of traits in pea plants which established the laws of Mendelian inheritance.

Classificatory System

An organized method for categorizing and grouping entities based on common characteristics or relationships.

Linnaeus

Carl Linnaeus was an 18th-century Swedish botanist, physician, and zoologist who laid the foundations for the modern biological naming scheme of binomial nomenclature.