2400 wrote:
Angieless in the first question, why do you not subtract the cost to implement from the profit?
Obviously the initiatives increase the assembly line profit initially 10% ($15M * 1.1 = $16.5M), but would you not have to subtract the $160,000 cost to implement from that to be $14.9M in Y11? How do you know not to subtract cost to implement?
2794Aditya on the third question, it shouldn't matter how much it makes up of Y10 given that the question is asking about Y11. The total profit increases 1% (so $150,000, or $135,000 if you include the cost of implementation, to my first point). 150,000 / 16,500,000 would be less than 1% but round to 1%
Thanks all for any help you can provide
Administrative unit restructuring accounted for 1% of the total profit.
>>
Profit of Y10= $15,000,000.
Administrative unit restructuring accounts for increase in profit by 1% ( $15,000,000 *10% total mentioned = 1,500,000)== 150,000$
this 150k USD is increase.
We don't know how much Administrative unit restructuring accounts in $15,000,000.
then we can not calculate percentage of Administrative unit restructuring in total profit( we dont know how much Administrative unit restructuring accounts in Y10 profit. we only know in 1% of increase in profit)