Division A reports the following data: Sales = $180,000, Net income = $18,000, Average'assets
1 answer:
Company A is operating more efficiently
Step-by-step explanation:
Given parameters:
Division A:
Sales = $180,000
Net income = $18,000
Average assets = $72,000
Division B:
Sales = $60,000
Net income = $9,600
Average assets = $48,000
Unknown:
Division operating more efficiently = ?
Solution:
Efficiency measures the relationship between the output from a business and the input into it. Here, the efficiency is the relationship between the net income and the average assets. it can be expressed as a percentage or ratio.
The net income is the profit derived from sales of a company's products.
The higher the value the more efficient a company is.
Efficiency = x 100
Efficiency of division A = x 100 = 25%
Efficiency of division B = x 100 = 20%
Division A has a higher efficiency compared to B
Learn more:
Economic goals brainly.com/question/8951463
#learnwithBrainly
You might be interested in
Answer:
30
Step-by-step explanation:
To find the determinant of a 3x3 matrix, you can use this method. (See picture.)
Start with the first number in the top row, and block off the row and column. A 2x2 matrix will be left. Find the determinant of this 2x2 matrix, and multiply it by the number in the top row.
Repeat for the other two numbers in the top row. Add the first result, subtract the second, and add the third.
det A = -2 [(3)(-5) − (a)(0)] − 2 [(0)(-5) − (a)(0)] + b [(0)(0) − (3)(0)]
det A = -2 (3)(-5) − 0 + 0
det A = 30
