Answer:
profit margin = 23.33%
Explanation:
profit margin = net profit / net sales
- net profit = $2,800
- net sales = $12,000
profit margin = $2,800 / $12,000 = 0.233333 = 23.33%
The profit margin is a profitability ratio used to compare how many cents different companies are able to make from selling $1. Different companies have different sales levels, but we can group companies by industries and then compare them in order to determine which ones are more efficient at generating income. E.g. Company A sells $100 million but only makes $2 million in profits per year (PM = 2%), and it is much less efficient than Company B that sells $10 million and makes $1 in profits (PM = 10%). Company A's costs are too high compared to Company B's costs.
<span>When downsizing employee the most effective method I feel will be to based the decision on facts or documented evidence that may be difficult to dispute. The source of data can be used maybe the last few performance appraisal results, absenteeism , productivity rate and other soft skills to measure suitability to the job. Create a matrix identifying the criteria and measure the grade of each employee based on the criteria. In a way this is a measured evaluation.
The least effective i would think are those decisions based on emotional considerations.</span>
Answer:
$135,000
Explanation:
The realized gain can be calculated as under:
Realized Gain = Market Value received - Adjusted Basis
Here
Market Value received is $375,000 (350k + 25k)
Adjusted Basis $240,000
By putting values, we have:
Realized Gain = $375,000 - $240,000 = $135,000
