Company’s profitability is important for a business to survive and remain
strong in giving the
benefits that shareholder or investors expect. Profitability ratios help
measure a company's ability to generate income and profits based on its
invested capital. In addition, most analysts and decision makers used these
ratios as an <span>indicator
of certain aspects of a company's performance.</span>
Answer: • Aggregate demand increased after 2009.
• Aggregate demand increased between 2010 and 2011.
• The economy experienced a sharp drop in growth between 2008 and 2009.
Explanation:
Answer:
Pronghorn Company
Depreciation Expense under Production Hours & Production Units:
c) Production Unit:
Depreciation Rate =Depreciable amount/Production hours
= $5.90 per unit
for 1,100 units, Depreciation expense = 1,100 x $5,90 = $6,490
b) Production hours:
Depreciation Rate = Depreciable amount/Production hours
= $237,770/20,100 = $11.83 per hour
For 530 hours, depreciation expense = 530 x $11.83 = $6,270
Explanation:
1. Data:
Pronghorn Company:
October 1, 2017
Purchase of Equipment for $251,930
Salvage value 14,160
Depreciable amount $237,770
2. Depreciation Expenses based on production hours and hours are some of the methods to depreciate an equipment used for production. Using these methods, the depreciation rate is determined and then multiplied by usage (hours or units) to obtain the depreciation expense for the period. The methods are simple and logical for depreciating production equipment.
Answer: 0
Explanation: The sale of the stock call, would be covered by the ownership of the stock ( someone who owns the said stock). The required margin needed to sell the stock would be ‘0’ since there is no evidence that points to any available risks on the short calls. as short calls helps to predict of prices would drop or not.
Answer:
Alpha Technology
Outstanding Computer's consumption ratio for setup hours is:
b. 0.48
Explanation:
a) Data and Calculations:
Overhead activities and costs:
Setting up equipment $3,000
Machining $15,000
Excellent Outstanding
Laptops Computers
Direct Labor $25,000 $10,000
Direct Materials $20,000 $5,000
Expected Production in Units 3,000 3,000
Machine Hours 850 2,000
Setup Hours 80 75
Total setup hours = 155 hours
Outstanding Computer's consumption ratio for setup hours = 75/155 * 100
= 48%
