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motikmotik
2 years ago
7

What is profitability

Business
1 answer:
kkurt [141]2 years ago
3 0

Answer:

Profit, in accounting, is an income distributed to the owner in a profitable market production process (business). Profit is a measure of profitability which is the owner's major interest in the income-formation process of market production. There are several profit measures in common use.

Income formation in market production is always a balance between income generation and income distribution. The income generated is always distributed to the stakeholders of production as economic value within the review period. The profit is the share of income formation the owner is able to keep to themselves in the income distribution process. Profit is one of the major sources of economic well-being because it means incomes and opportunities to develop production. The words "income", "profit" and "earnings" are synonyms in this context.

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The technology associated with the manufacturing computers has advanced tremendously. This change has led to the price of a comp
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The technology associated with the manufacturing computers has advanced tremendously. This change has led to the price of a computer <u>falling</u> and the quantity <u>increasing</u>.

Lower prices most likely results in a higher demand for the product in question, which will increase the production rate of that product.
3 0
3 years ago
Read 2 more answers
A firm has an outstanding issue of 1,000 shares of preferred stock with a $100 par value and an 8 percent annual dividend. The f
katen-ka-za [31]

Answer:

“Hence, the amount that must be paid to the preferred stockholders be paid prior to paying dividends to common stockholders at the end of third year = $24,000”

Explanation:

The Paid-up value of Preferred Shares = $100,000 [1,000 Shares x $100]

The Amount of Preferred Dividend per year = $8,000 [$100,000 x 8%]

The amount that must be paid to the preferred stockholders be paid prior to paying dividends to common stockholders at the end of third year

= Cumulative Preferred Dividends payable for the 2 years + Current Year Dividend

= [$8,000 x 2 Years] + $8,000

= $16,000 + 8,000

= $24,000

“Hence, the amount that must be paid to the preferred stockholders be paid prior to paying dividends to common stockholders at the end of third year = $24,000”

6 0
3 years ago
Describe the McDonald's activities in terms of Frederick Taylor's principles of scientific management, Max Weber's hierarchical
Margarita [4]

Explanation:

Using Frederick Taylor's principles of scientific management McDonald's entire staff activities would be planned, coordinated, and controlled under continuous direction of a supervisor or expert.

The line of authority using the Max Weber's hierarchical structure for McDonald's activities would be marked by;

  1. Specialization of labor: placing the skilled person on the job.
  2. A formal set of rules and regulations,
  3. A well-defined hierarchy within the organization,
  4. Impersonality in the application of rules: by treating all employees equally.
  5. Employment-based on Technical Qualifications: McDonald employs only the qualified to do the job.

Henri Fayol's administrative principles should result in;

  • Division of work in McDonald,
  • Delegation of authority and responsibility,
  • Discipline of wanting employees,
  • Unity of Command,
  • Unity of Direction,
  • Subordination of individual interest to general interest,
  • <em>Good remuneration of McDonald's staff.</em>
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3 years ago
Robertson Inc. prepares its financial statements according to International Financial Reporting Standards (IFRS). At the end of
qwelly [4]

Answer:

$264,000

Explanation:

Calculation to determine what the accumulated depreciation account will have a balance of:

$240,000 x ($330,000/300,000) = $264,000

Therefore , the accumulated depreciation account will have a balance of:$264,000

8 0
3 years ago
As the operations manager for American Airlines you have decided to invest in 10 new jets for the company's fleet. There are thr
Agata [3.3K]

Answer:

Expected r = 0.17

Explanation:

The expected return on the investment can be calculated by taking the return in each scenarios and multiplying it with the probability of that scenarios and taking the sum of the results. Thus, the equation to calculate expected return will be,

Expected r = pA * rA  +  pB * rB  + ... + pN * rN

Where,

  • pA, pB, ... represents the probability of each scenario A, B and so on
  • rA, rB, ... represents the probability of each scenario A, B and so on

Expected r = 0.5 * 0.15  +  0.3 * 0.25  +  0.2 * 0.1

Expected r = 0.17

8 0
3 years ago
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