Bell brothers has $3,000,000 in sales. its fixed costs are estimated to be $200,000, and its variable costs are equal to 50 percent of sales. the company has $1,000,000 in debt outstanding with a before-tax cost of 10 percent. if bell brothers' sales increase by 20 percent, by what percent should its earnings per share (eps) change? 16.00% 20.00% 21.67% 23.08% 25.00%

Adrawback of short-term contracting as an alternative to making a component in-house is thata. it is the most-integrated alternative to performing an activity so the principal company has no control over the agent. b. the supplying firm has no incentive to make any transaction-specific investments to increase performance or quality. c. it fails to allow a long planning period that individual market transactions provide. d. the buying firm cannot demand lower prices due to the lack of a competitive bidding process.