EXIBIT 3.1
Samson Edward Salisbury, a citizen of Australia and an executive with Queensland
Consolidated Oil PLC quit his \$800,000 per year job in 2016 to start his own business,
Melbourne Chemical Company (MCC). He now owns and operates five firms that produce
several types of chemicals for sale to businesses and households, mostly in Australia,
New Zealand, Papua New Guinea, Singapore, India, and China. Although MCC has
subsidiaries in New Zealand, India, and Singapore, its global headquarters are located in
the Australian city of Sydney. MCC's headquarters are housed in four commercial
building, which he inherited from his great-grand mother and one of Australia's most
important chemical engineers, Dame Margaret Ann Salisbury. Part of Salibury's
inheritance, \$5,000,000, was used to purchase equipment (mostly large and extremely
expensive computing systems) for his five businesses. Before he inherited the buildings in
which MCC's headquarters are located, they had been rented to Gold Coast Mining
Consultants, PLC, for \$65,000 per month. Last year (2020) MCC had total revenues of
\$110,000,000; supplies cost \$16,000,000; employees received \$45,000,000; and total
advertising expenditures were \$25,000,000. Total depreciation expenditures for 2020
were \$4, 500,000. Assume a market interest rate of 5 percent.
15. What were MCC's accounting profit (ra) in 2020?
1. \$86,000,000
2. \$17,670,000
3. \$92,330,000
4. \$6,330,000
5. \$19,500,000
