CPI (Consumer Price Index) is a measure of changes in prices paid by consumers for goods and services. It is used to estimate the changes in prices.
Therefore;
Change in prices = (CPI in current year - CPI in base year)/CPI in base year
Substituting for the values given in the current problem
Changes in prices = (108-100)/100 = 8/100 = 0.08 or 8%.
This shows that prices increased by 8% in the current year compared to the base year.
A record of income and expenditures for a given period of time is called a BUDGET.
Answer:
Othello company understated its inventory by $20,000 at December 31 2017
This error was not corrected In 2017 or 2018
Therefore as a result of this Othello stockholder equity was understated in the year 2014, December 31 and properly stated at 2015, December 31
A company has $100,000 in assets, 1000 shares outstanding, and no debt. If EBIT is $20,000, the interest rate on debt is 10% and its tax rate is 40%, then its EPS is 12 per share.
Earning Per Share (EPS) indicates the agency's profitability by means of showing how a great deal of cash a commercial enterprise makes for each proportion of its stock. The EPS parent is determined by way of dividing the employer's net income by using its outstanding shares of common inventory. however, it's miles taken into consideration the higher the EPS quantity, the more worthwhile the employer.
To find the ESP use the formula
ESP = Net Income / Common Share O/S- Net Income = 20000 - 0 -20000 * (.40) = 12000
ESP = 12000 / 1000 = 12 per share
Therefore Earning per share is 12 per share.
Earnings Before Interest and Taxes (EBIT) is a hallmark of an enterprise's profitability. EBIT may be calculated as sales minus charges with the exception of tax and hobby. EBIT is likewise referred to as running profits, operating earnings, and income before interest and taxes.
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Answer:
Explanation:Since economic resources are scarce, they must be used efficiently. We want to produce as much goods and services as we can, and in the process, produce the goods and services needed the most. There are five functions an economic system performs in producing goods and services for consumption.
