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3 years ago

How is profit figured out

1 answer:

3 0

1) First step is to figure out how much your business has made in the time period you are searching for (month, Quarter, Annual)
Add up your sales.
Make sure you subtract any refunds or returns in funds

2) Calculate your expenses for the business. Depending on the type of business you are running depends on your expenses. This includes Payroll, Utilities and Rent

3) Subtract your expenses from your Income
For example. Your business made $10,000 but your expenses is $5,000 that would leave you with $5,000

4) That is your Profit amount
*Keep in mind that a negitive value for profit is called a "net loss"

You might be interested in

Voltage industries, a calendar-year company, purchases equipment for $85,000 on january 2nd, 2017. the equipment's expected usef

stich3 [128]

Double-declining-balance rate:

By straight-line method, annual depreciation expenses = (85,000-5,000)/5 = $16,000

Rate of depreciation = 16000/(85,000-5,000) = 0.2 = 20%

Then, double-declining-balance rate = 2*Straight-line rate = 2*20 = 40%

From 2nd January 2017 to 31st December 2018 can be approximated as 1 year.
Therefore,
Depreciation expense in yr 1 = 40/100 * 85,000 = $34,000

And,
Book value at December 31 2018 = $85,000 - $34,000 = $51,000

It can be seen that the correct answer is b.

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4 years ago

On October 1, 2020, Wenn Company purchased 800 of the $1,000 face value, 8% bonds of Loy, Inc., for $936,000, including accrued

NemiM [27]

Answer:

d. $896,000.

Explanation:

The computation of the carrying value of the bond is shown below:

The amount after excluding the interest part is

= $936,000 - $16,000

= $920,000

The premium amount is

= $920,000 - 800 × $1,000

= $920,000 - $800,000

= $120,000

Now the premium amortizaton is

= $120,000 × 15 ÷ 75

= $24,000

So, the carrying value is

= $920,000 - $24,000

= $896,000

hence, the correct option is d. $896,000

5 0

3 years ago

A bank of 10 machines requires regular periodic service. Machine running time and service time are both exponential. what is the

marishachu [46]

Answer:

hello your question lacks some details below is the complete question

A bank of 10 machines requires regular periodic service. Machine running time and service time are both exponential. Machines run for an average of 44 minutes between service requirements, and service time averages six minutes per machine

If operators cost $15 per hour in wages and fringe benefits and machine downtime costs $75 per hour in lost production, what is the optimal number of operators for this bank of machines?

A 1

B 2

C 3

D 4

E 5

Answer : 3 operators ( c )

Explanation:

number of machines = 10

machine run time for each = 44 minutes

service time = 6 minutes

cost of each operator = $15 per hour

loss during machine down time = $75 per hour

hence the optimal number of operators

The total minutes the machine would work in a hour

= (60 - 6) * 10 = 540 minutes

assuming we assign 180 minutes to each operator then each operator would cost = 15 * 3 = $45

for three operators that would be = 45 * 3 = $135

lost inquired during down time

= 6 minutes * 10 = 60 minutes i.e the total cost inquired per hour = $75

hence 3 operators would be an optimal number of operators because the operators would work lesser hours and more efficiently as well

5 0

3 years ago

Cullumber, Inc. produces three types of balloons—small, medium, and large—with the following characteristics: Small Medium Large

VikaD [51]

Answer: Small Balloons - 600 units

Medium Balloons - 0 units

Large Balloons - 467 units

Explanation:

To solve this question, the Contribution margin per hour must be ascertained to find out which product is manufactured more efficiently in relation to machine hours.

Small Balloon.

= Contribution margin per unit/ Machine hours per unit

= 3/1

= 3

Medium Balloon.

= Contribution margin per unit/ Machine hours per unit

= 3/2.4

= 1.25

Large Balloon

= Contribution margin per unit/ Machine hours per unit

= 4/3

= 1.33

From the above we can rank the most efficient.

Efficiency Ranking

Small Balloon - 1

Large Balloon - 2

Medium - Balloon 3

As a rule, it is better that a company produces goods it is more efficient at first,

Small Balloons will be produced first and have a demand of 600 units.

With a cost of 1 unit therefore, producing 600 would be,

= 600 * 1

= 600 machine hours.

With Small Balloons taking 600 hours and with a limit of 2,000 hours we are left with,

= 2,000 - 600

= 1,400 hours.

Next in production is Large Balloons at a demand of 880 units with each unit costing $3,

= 880 * 3

= 2,640 machine hours

Seeing as we only have 1,400 machine hours left all these hours will be converted to used for Large Balloons which means the following number of units will be produced,

= 1,400/3

= 466.67

= 467 units.

The Company should produce in the following order to maximise its total contribution margin.

Small Balloons - 600 units

Medium Balloons - 0 units

Large Balloons - 467 units

5 0

3 years ago

The written statements that define the extent and quality of work to be done are called the ?

Tresset [83]

Answer:

Specifications.

Explanation:

Project management can be defined as the process of designing, planning, developing, leading and execution of a project plan or activities using a set of skills, tools, knowledge, techniques and experience to achieve the set goals and objectives of creating a unique product or service. Generally, projects are considered to be temporary because they usually have a start-time and an end-time to complete, execute or implement the project plan.

The fundamentals of Project Management are considered universal across most businesses and professions.

The fundamentals of Project Management includes;

1. Project initiation

2. Project planning

3. Project execution

4. Monitoring and controlling of the project

5. Adapting and closure of project.

In project management, the written statements that define the extent and quality of work to be done are called the specifications.

Basically, the specifications of a project or manufacturing process outlines the minimum requirements and quality that are acceptable. Thus, it must be adhered to strictly in order to achieve a successful and desired outcome.

8 0

3 years ago