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3 years ago

31. Why is a profit and loss statement useful for a business? (1 point)

Business

2 answers:

Gnoma [55]3 years ago

5 0

Answer:

Option( D)

It consolidates essential information about the business.

Explanation:

The Profit & Loss account describes different business activities such as expenses and revenues of the business, particularly useful in finding out the risk of not achieving the required one and planned the level of income in the future.

It also gives us information required to find out tax obligations.Hence, profit and as well as loss statement is useful for a business by providing various important information about the business

rewona [7]3 years ago

4 0

Answer:

D It consolidates essential information about the business.

Explanation:

The Profit and Loss statement, commonly known as PyL is the statement that consolidates the operation in each period. In general, it is useful to determine: the revenues, the operating profit, The EBITDA (Earnings Before Interests and Taxes plus Amortization and Depreciation), the Profit before taxes and the net profit.

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What is a discretionary meaning?.

Fantom [35]

Discretionary meaning is the ability to make decisions based on one’s own judgement and experience. It involves the consideration of many factors, including ethical and moral considerations, and is often used in situations where there is no clear answer or the situation is complex.

What is Discretionary?
Discretionary refers to a decision that is left up to you. You have the choice not to take regular baths; keep in mind, though, that your friends could perhaps disagree together on this. Bathing is a discretionary act. When money isn't set aside for a specific use, it's often referred to as discretionary. How discretionary funds should be used is up to the decision-makers in charge. The word discretion is the root of the word discretionary, which can be defined as "the right to decide stuff based on one's own judgement." If you're given a task to finish at your discretion, you can choose how to do it — as well as whether you want to do it at all.

To learn more about Discretionary
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8 0

1 year ago

Bernard Companies stock has an expected return of 10.75 percent. The stock is expected to return 13.5 percent in a normal econom

solmaris [256]

10.75 seen it on the test

5 0

3 years ago

In an effort to reduce cost on auto insurance, Sophia has lowered each component of her current plan to the cheapest possible op

MAXImum [283]

Answer:

Sophia will save $38.15

Explanation:

If Sophia chooses the cheapest possible option, her choices will be:

bodily injury $25/50,000 $21.35

property damage $25,000 $115.50

collision $500 deductible $248.08

comprehensive $100 deductible $88.23

total premium $473.16

she will save $511.31 - $473.16 = $38.15

5 0

3 years ago

The ______ pricing tactic lures customers into the store through aggressive advertising coupled with a very low price on somethi

kap26 [50]

Answer:

leader pricing strategy

Explanation:

Based on the information provided within the question it can be said that the pricing tactic that is being mentioned is a leader pricing strategy. This strategy focuses on placing lower price points on the products in order to attract customers to a new brand or to gain interest in general to the business as a whole. Therefore luring customers into the store and hopefully increasing sales.

7 0

3 years ago

Payback period computation; even cash flows LO P1

lesya692 [45]

Answer:

$520,000 / $235,000 = 2.2 years

$380,000 / $105,000 = 3.6 years

Explanation:

Payback period calculates how long it takes to recover the amount invested in a project from its cumulative cash flows

Payback period = amount invested / cash flow

Cash flow = net income + depreciation expense

Depreciation expense using the straight line depreciation expense = (cost of asset - salvage value) / number of years

A. ($520,000 - $10,000) / 6 = $85,000

cash flow = $150,000 + $85,000 = $235,000

$520,000 / $235,000 = 2.2 years

B. ($380,000 - $20,000) / 8 = $45,000

$45,000 + $60,000 = $105,000

$380,000 / $105,000 = 3.6 years

5 0

3 years ago