Accounts debits for each will be
1. Plant and Equipment and Fixed Assets
2. Land Enhancement
3. Cost of maintenance and repairs
4. Paid-Up Insurance
5. Additional operational costs
What are debits and credits?In double-entry accounting, debits and credits are entries made in account ledgers to record value changes brought on by company transactions. Each transaction transfers money from credited accounts to debited accounts. A debit entry in an account reflects a transfer of value to that account, and a credit entry represents a transfer out of that account. A renter might include a credit for the bank account on which the rent check is written and a debit for the rent expense account, for instance, when writing a rent check to a landlord. In a similar manner, the landlord would record a credit in the tenant's rent income account and a debit in the account where the check is placed.
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mr. cutler usually makes a 45% profit on every radio he sells. during a sale, he reduces his margin of profit to 40%, while his sales increase by 10%. what is the ratio of his new total profit to the original profit?
Selling price (S.P.) minus cost price equals profit (C.P.) When the selling price exceeds the cost price, a profit can be determined.
Profit Formula: What is it?
The profit formula aids in determining the gain in any financial transaction as well as the profit made by selling a specific product, which is typically done in a business.
Following his boost in revenue, +.4%2A%28+1+% 2B+.1%29% 2Ax+=+%28+.4+%2B+.04+%29% 2Ax+
+.44x+
His new overall profit to original profit ratio is +.44x%2F.45x+=+44%2F45+.
His profit is +.45x+ if x+ is the number of radios he sold prior to the increase in sales. Let x represent the first sales total. Then you would make a profit of.45x. If I raise sales by 10% and lower the profit margin to 40%, the equation changes to 40*1.1*x =.44x. The result of the ratio is 44/45.
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What+is+the+required+monthly+payment+on+a+$350,000+mortgage?+assume+a+standard+mortgage+(360+months)+with+monthly+payments.+use+a+nominal+rate+of+6.90%.
Divide the hobby fee you're being charged by means of the number of bills you'll make each year, commonly twelve months. Multiply that discern with the aid of the initial balance of your loan.
Solution:
EMI or Equated monthly payment
= P x R x (1+R)^N]/[(1+R)^N-1]
Where,
P = Principal = $350,000
R = Monthly rate of interest = Annual rate / 12
= 6.9 %/ 12
= 0.575% or 0.00575
N = Number of installments = 360
So, EMI
= $350,000 x 0.00575 x [(1.00575) ^ 360] / [(1.00575) ^ (360-1)]
= $350,000 x 0.00575 x 7.877979 / [7.877979 – 1]
= $2,305.
The monthly price is the quantity paid according to a month to pay off the loan within the term of the mortgage. while a mortgage is taken out it isn't always only the primary amount, or the authentic quantity loaned out, that wishes to be repaid, but additionally, the hobby that accumulates. Your month-to-month payment on a 600k loan could be $three,477. which is your general estimated monthly price which includes the most important interest, taxes, and loan coverage.
Disclaimer:- your question is not in a correct format, please see below for the correct question format.
What is the required monthly payment on a+$350,000 mortgage?assume a standard mortgage (360 months) with monthly payments.+use+a+nominal+rate+of+6.90%.
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esfandairi enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.34 million. the fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be worthless. the project is estimated to generate $1,740,000 in annual sales, with costs of $650,000. the tax rate is 21 percent and the required return on the project is 11 percent. what is the project’s npv? (do not round intermediate calculations. enter your answer in dollars, not millions of dollars, and round your answer to 2 decimal places, e.g., 1,234,567.89.)
The NPV of the project is $164563.21
How to calculate the net present value (NPV)?It should be noted the initial investment in the project = ($2340000)
The cash flows for year 1:
= ( sales - costs)(1 - tax rate) + depreciation tax shield
= ( $1740000 - 6,50,000)(1-0.21) + 7,80,000 × 0.21
=$861100 + $163800
=$1024900 is the cash flows for the 3 years.
The straight line depreciation will be:
= $2340000/3
= $7,80,000
The NPV will be:
($2340000) + 1024900/1.11 + 1024900/1.11² + 1024900/1.12³
= $164563.21
Therefore, the NPV of the project is $164563.21.
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matilda is really excited. today she found out that her company, a.k. auto repair, is changing their performance review system to include self-reviews from individuals. matilda thinks the new review process will have a big impact on at the company, and she is excited to see the company include in their policies.
Matilda is really excited. today she found out that her company, a.k. auto repair, is changing their performance review system to include self-reviews from individuals. Mathilda thinks the new review process will have a big impact on procedural justice, and she is excited to see the company include organizational justice in their policies.
What is meant by procedural justice?The term procedural justice is one that has to do with the ways that the police and all the other members of the authorities would have to interact with the members of the public. The goal is so that it would be able to shape the perception that the public would have of the police force.
What is meant by organizational justice?The organizational justice are the perceptions of fairness is the term that has to do with the treatment of individuals that would be internal to the social responsibility of the particular entities that are known to be external to the particular business.
Hence the given answers to this question that can be used to fill in the blanks are:
procedural justiceorganizational justiceRead more on procedural justice here:
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________ can be used at no cost for an unlimited period of time. group of answer choices
Freeware can be used at no cost for an unlimited period of time.
Freeware is software program, most often proprietary, that is distributed at no financial cost to the end user. There's no agreed-upon set of rights, license, or EULA that defines freeware unambiguously; every publisher defines its personal policies for the freeware it offers. for instance, amendment, redistribution with the aid of 1/3 parties, and reverse engineering are permitted by a few publishers however prohibited through others. In contrast to with free and open-supply software, which are additionally regularly distributed free of charge, the source code for freeware is commonly now not made available. Freeware may be supposed to benefit its producer by means of, for example, encouraging sales of a more succesful version, as within the freemium and shareware business models. Freeware has been criticized as "unsustainable" as it calls for a unmarried entity to be responsible for updating and enhancing the product, that's then given away with out rate. Other freeware projects are honestly released as one-off programs with out a promise or expectation of similarly development. these may consist of supply code, as does unfastened software program, in order that users could make any required or desired adjustments themselves, however this code stays concern to the license of the compiled executable and does no longer represent unfastened software program.
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for which of the following would one expect the book value of the asset to differ widely from its market value?
One expects the value of the asset to differ widely from its market value by Fixed assets.
The term fixed assets alludes to a drawn out unmistakable piece of property or hardware that a firm possesses and involves in its tasks to make pay.
What is an Asset?An asset is anything that you can use to generate income or build wealth. This could include investments such as stocks, bonds, real estate, and commodities. It also includes physical objects like cars and jewelry that you can sell or rent out.
In addition to generating income through sale or rental transactions, assets also offer protection from inflation and volatility in the market.
Some benefits of owning an asset include: being able to make money even if the economy is down; having control over your own finances; knowing exactly where your money is going; locking in a guaranteed return on investment;and diversification – which gives you a higher chance for success should one specificasset class experience difficulties.
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According to the consumer behavior model, sociocultural, psychological, and situational influences affect ______.
According to the consumer behavior model, sociocultural, psychological, and situational influences affect the hierarchy of needs. A socio-culture system is defined as "a human population seen in its ecological context as one of many subsystems of a broader ecological system."
The phrase "sociocultural system" encompasses three ideas: society, culture, and system. A society is a group of organisms of the same species that are interdependent. A culture is the taught behaviors that individuals of a community share, as well as the tangible products of those actions. A system is defined as "a collection of pieces that interact with one another to function as a whole."
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the demand for digital media has increased over the last several years. how would this affect the wages paid to web developers? wages would likely increase because many publishers have relocated their production overseas. wages would likely increase because there is a minimum level of expertise and training needed to develop content. wages would likely decrease because fast growth in industries creates a lower demand for specific skillsets. wages would likely decrease because pay for similar jobs is often lower in urban areas than in rural ones.
The effect would be wages would likely increase because there is a minimum level of expertise and training needed to develop content.
What is the impact of a increase in demand for digital media?
An increase in demand is as a result of other factors that affect the demand for a good other than the price of the good. For example, technological advancement can lead to an increase in demand for digital media.
When there is an increase in demand for a good, the demand curve for the good would shift to the right all things remaining equal.
When there is an increase in demand for digital media, there would be an increase in demand for those who are skilled in the field of digital media. As a result, there would be an increase in the demand for web developers. This would lead to an increase in wages for web developers. There would not be an immediate increase in the supply of web developers which can lead to a decrease in wages because there is a minimum level of expertise and training needed to develop content. This training period can take a period of time.
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The price quotations of treasury bonds in the wall street journal show an ask price of 104.25 and a bid price of 104.125. as a seller of the bond, what is the dollar price you expect to receive?
Given that, For Treasury bonds ask price is 104.25, bid price is 104.125. As a dealer we are supposed to pay which is 104.25% of the bond value which is $1042.50
Ask price is 104.25
Bid Price is 104.125
As a seller of the bond we are bound to pay the ask price which is 104.25% of the value of the bond.
Let's assume value of bond = $1,000
You pay the asking price of the dealer,104.25% of $1,000, or $1,042.50.
The terms is what a buyer is willing to acquire a security, while the ask price is what a seller is willing to just accept for the identical security. The difference between those two numbers is understood because the bid-ask spread, and normally, the narrower that spread, the more liquid the market is.
Bid Price/Ask Price
The term "bid" refers to the very best price a buyer pays to shop for a specified number of shares of a stock at any given time. The term "ask" refers to all-time low price at which a seller will sell the stock.
Treasury bonds are issued in terms of 20 years or 30 years and pay interest every six months until they mature. When a Treasuries matures, you're paid its face value.
The price and yield of a Treasury obligations are determined at auction. the value could also be greater than, less than, or up to the face value of the bond. For more on the value of a Treasuries
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samantha works as an intern at a marketing firm. she always shows up for work later than she is expected to butdelivers her assignments as per her deadlines. she is cordial with her colleagues. she always tries her best to learn new skills even though she does not show up for work regularly.
There are two sentences in this paragraph that suggest a bad work habit.
1.She consistently arrives at work later than expected but completes her assignments on time. Samantha not only arrives late to work, but she does so on a regular basis. This is an example of a bad work habit, as being on time is one of an employee's responsibilities. If she is not punished, this sends a negative message to her coworkers. This can result in disorganization and lost production.
2.Even though she does not regularly attend work, she always makes an effort to learn new skills. Again, showing up for work is required, unless your company has a flexible work schedule that allows people to work from home or set their own working hours. That does not appear to be the case in Samantha's case, and thus this is a bad habit.
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Hewlett packard, dell, and lenovo are all companies that have been affected by competition stemming from ______ advances in developing countries.
Hewlett Packard, Dell, and Lenovo are all companies that have been affected by competition stemming from technological advances in developing countries.
A technological advance is a change made to the production or delivery process of a good or service that reduces the number of resources needed. Information technology advancements like artificial intelligence, geotargeting, automation, and others have significantly accelerated technological evolution. As robotics develops, even our thermostats and refrigerators may be able to be connected to the internet.
Technological advances help the company sector comprehend the elements that can delight its customers. Businesspeople that understand their consumers well will be able to deliver goods and services that satisfy their clients. The world is now effectively connected thanks to technology, which has made it simpler to travel, build cities, and grow crops, among many other things.
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Which method requires managers to measure their company's own products, services and activities against best levels of performance?
The benchmarking method requires managers to measure their company's own products, services, and activities against the best levels of performance
This is further explained below.
What is benchmarking?Generally, To determine where a company may make improvements in performance, benchmarking measures and compares important indicators and practices within business areas or against a competitor, industry peers, or other firms across the globe.
In conclusion, The benchmarking approach encourages managers to evaluate the goods, services, and activities of their own organization in comparison to the most successful levels of performance.
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You own a restaurant. your input prices are rising frequently, and you find it necessary to change your prices often. these frequent changes epitomize the problem of?
These frequent changes epitomize the problem of wrong money illusions.
Money illusion is an economic hypothesis that holds that people tend to see their wealth and income in nominal dollar terms rather than in actual dollar terms. In other words, it is considered that consumers do not consider an economy's level of inflation, mistakenly assuming that a dollar is worth the same as it was the previous year.According to the theory of money illusion, people have a tendency to evaluate their wealth and income in nominal dollar terms rather than recognize their true value, adjusted for inflation.Economists attribute money illusion to issues such as a lack of financial education and price stickiness in many commodities and services. Employers are believed to take advantage of this by moderately raising wages in nominal terms but paying less in real terms.Thus, these frequent changes are the problem of wrong money illusions.
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The benefits that all international governmental organizations (igos) offer their members include?
The benefits that all international governmental organizations (igos) offer their members include the creation of habits of cooperation between states. An intergovernmental organization (IGO) is a formal treaty-based organization formed largely of sovereign states or other organizations for the purpose of dealing with/serving shared interests and governed by international laws.
Treaties are made when the lawful representatives (governments) of numerous states ratify them, giving the IGO international legal personality. international governmental play an essential role in international law. In a legal sense, intergovernmental organizations should be distinguished from mere groups or coalitions of governments, such as the G7 or the Quartet.
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the magazine field & stream targets readers interested in hunting, fishing, and survival tips. this is consistent with its strategy. a. differentiation b. domination c. focus or niche d. cost leadership
By offering customers something distinctly different from what their competitors could be offering in the market, businesses can draw in customers via a differentiation approach.
Thus, Option A is correct.
Why differentiation strategy is important?It helps your company stand out in the market and provides your customers with a higher level of value. The main objective of any differentiation strategy is to increase your company's competitive advantage as a result. Instead of only lowering costs, a company can compete in the market by differentiating itself. A candy maker might differentiate their product, for instance, by improving flavor or using healthier ingredients.
Even when competitors may have a product that is identical, the differentiation approach highlights the quality or design differences that other products don't have. Due to the uniqueness of the product in the eyes of the consumer, the company acquires a competitive edge.
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The decline in unit costs of a product or service that occurs as the absolute volume of production increases is known as?
The decline in unit costs of a product or service that occurs as the absolute volume of production increases is known as economies of scale.
Production is the system of blending various cloth inputs and immaterial inputs (plans, know-how) an amazing way to make a few components for intake (output). it's miles the act of making output, a terrific or provider that has a price and contributes to the software program of individuals.
An example of production is the advent of fixtures. An instance of manufacturing is harvesting corn to consume. An instance of manufacturing is the quantity of corn produced.
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What type of measurement model does u.s. gaap currently employ?
A mixed attribute type of measurement model is what the US. GAAP currently employs.
This is further explained below.
What is a mixed attribute type of measurement model?Generally, The mixed attribute model is a measuring base that may be used to determine both the value of the assets and the value of the liabilities in compliance with the International Financial Reporting Standards (IFRS) and Generally Accepted Accounting Principles (GAAP) of the United States (IFRS).
In conclusion, The United States uses a measuring paradigm that has a mixed attribute type. Current GAAP procedures are used.
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The return on a 5 percent coupon $1000 bond that initially sells for $1,000 and sells for $950 next year is:__________
he return on a 5 percent coupon $1000 bond that initially sells for $1,000 and sells for $950 next year is: (C). 0 percent.
What is holding period return?
The holding period return is the return on the bond investment over the period of one year on the premise that the investor paid $1000 , receives selling price of $950 after one year as well as one-year coupon payment
holding period return=(price now-price one year ago+coupon)/price one year ago
price now=price after 1 year=$950
price 1 year ago=$1000
1-year coupon=face value*coupon rate
face value=$1000
coupon rate=5%
1-year coupon=$1000*5%
1-year coupon=$50
holding period return=($950-$1000+$50)/$1000
holding period return=0.00%
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Full question with options:
The return on a 5 percent coupon bond that initially sells for $1,000 and sells for $950 next year is
A. -10 percent.
B. -5 percent.
C. 0 percent.
D. 5 percent.
demand is best described as the additional satisfaction derived from a quantity of goods and services obtained when income increases. the quantity of a good or a service that people are willing and able to purchase at different possible prices. the quantity of a good or a service that people will offer for sale at different possible prices. the total satisfaction that consuming a good provides people at different prices. the quantity of a good or service that consumers will substitute when the price of a good changes. the law of demand says that higher prices cause buyers to demand more. as the price of a good increases, buyers are willing and able to purchase less. buyers demand lower prices. higher prices cause less demand. as the price of a good decreases, buyers are willing and able to purchase less.
1. The quantity of a good or a service that people are willing and able to purchase at different possible prices.(Demand means different amount of quantity that people are willing and able to purchase at different prices.)
2. As the price of a good increases, buyers are willing and able to purchase less.(Law of demand means as price increases, quantity demanded decreases.)
3. Inverse relationship.(The relationship between price and quantity demanded is inverse.)
Demand is an economic concept that pertains to a customer's choice to purchase goods and offerings and willingness to pay a specific charge for them. An growth inside the charge of an awesome or provider has a tendency to decrease the quantity demanded.
Supply and demand determine the fee of products and portions Produced and consumed. Customers might also exhaust the to be had deliver of a good by buying a given appropriate or carrier at a excessive extent. This ends in an growth in call for. As demand will increase, the available deliver additionally decreases.
Demand for a services or products offers the firm the possibility to develop the commercial enterprise, hiring extra employees and growing capability to healthy the call for. however, oversupply and occasional demand forces businesses to contract, laying off team of workers and last factories.
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Troy will receive $7,500 at the end of year 2. At the end of the following two years, he will receive $9,000 and $12,500, respectively. What is the future value of these cash flows at the end of year 6 if the interest rate is 8 percent?.
The future value of these cash flows at the end of year 6 if the interest rate is 8 percent is $36,121.08
Given that,
Year 2 has a cashflow = $7500
similarly, It is given that at the end of 3rd and 4th year, he will receive $9000 and $12500 respectively
The Cash flows are:
C2 = 7500, C3 = 9000, C4 = 12500
interest rate = r = 8%
• The future value of C2 at the end of 6th year = FV2 = C2 × (1+r)4
= 7500 × (1+8%)4 = 10203.6672
• The future value of C3 at the end of 6th year = FV3 = C3 × (1+r)3
= 9000 × (1+8%)3 = 11337.408
• The future value of C4 at the end of 6th year = FV4 = C2 × (1+r)2
= 12500 × (1+8%)2 = 14580
Future value of these cash flows at the end of 6th year = FV2+FV3+FV4
= 10203.6672 + 11337.408 + 14580
= 36121.0752 ~ 36121.08 (Rounded to two decimals)
An asset's future value is its worth on a particular date in the future. Alternatively, the future value is the sum of money that an investment will be worth, assuming a specified rate of return, after a specific amount of time (interest rate).
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For most recall tests, the transfer of items into long-term storage is best facilitated by ________ rehearsal.
For maximum recollect exams, the switch of items into a long-term storage garage is high-quality and facilitated via Elaborative practice sessions.
long-term storage refers back to the garage of statistics over a prolonged duration. This kind of memory tends to be strong and can close a long term—often for years. long-time period storage offers you a safe location to hold gadgets for a longer length which is normally anything more than 3 months. Many people use the lengthy-time period garage as an extension in their wardrobes at domestic or to declutter the storage or to travel for prolonged periods like a sabbatical.
The greatest difference is within the long-term storage. short-time period storage is wherein you don't assume to be the usage of the storage unit for greater than three months. however, lengthy-term storage is extra suitable for extended intervals, like seasonal apparel storage or packing matters away in the course of the wintry weather. except, while now not in use, magnetic drives are extra dependable for a long-term garage than flash memory ones. for this reason, HDDs are more capable of long-term garages than SSDs whilst powered off.
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country x is a major buyer of country y’s grains. assume country x’s government announced an increase in taxes on its imports of country y’s grains effective next month. how will this news likely affect consumers’ demand for grains in country x?
When it is to be assumed that country x’s government announced an increase in taxes on its imports of country y’s grains effective next month, it will lower the demand of consumers for grains in country X.
What is the significance of consumer demand?
A demand can be referred to or considered as the quantity the buyers are willing to purchase in an economy. It is driven by external factors negatively if it affects the consumer's power to purchase the goods and services.
Therefore, the significance regarding the consumer demand has been aforementioned.
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Which type of good can be consumed by one person without precluding consumption of the good by others?
The good that can be consumed by one person without preluding consumption of the good by others is private good.
A product or service (such as one's own candy bar, stereo, or car) whose consumption by one person precludes the consumption by others. A good or service that can be consumed by one person without excluding others (national defense, flood control, street lights).According to excludability and rivalrousness, there are four distinct sorts of products in economics: private goods, public goods, common resources, and club goods. Products that can be excluded and compete are considered private goods.Examples include eating out, grocery shopping, traveling by airline, and using a cellphone. Therefore, anything that can only be used or eaten by one party at a time is considered a private good. Since they can only be used by people who have access to them, many material possessions for the home qualify.Thus the type of good that can be consumed by one person without precluding consumption of the good by others is private goods.
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Answer:
Nonrival
Explanation:
If black diamond were to begin focusing its business strategy on offering mountaineering tours with guides and support teams to promote outdoor tourism then this would be an example of:______.
If black diamond were to begin focusing its business strategy on offering mountaineering tours with guides and support teams to promote outdoor tourism, then this would be an example of: a service organization.
What is a business strategy?A business strategy can be defined as a set of guiding principles, actions, policies, and decisions that a business organization strategically combines, so as to successfully achieve its goals, objectives, attract potential customers and possess a competitive advantage over its rivals in the industry.
The types of business strategy.Generally, there are four (4) main types of business strategy and these include the following:
Organizational (Corporate) strategy.Business (Competitive) strategy.Functional strategy.Operating strategy.What is a service organization?A service organization can be defined as type of organization that provides planned and prepared intangible services (non-physical products), rather than tangible products.
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Twist corp. has a current accounts receivable balance of $397,615. credit sales for the year just ended were $2,953,600. calculate the average collection period: formula = 365/ receivables turnover
The average collection period is 49.14.
What is the average collection period?
The average collection period calculates the number of times in a year that accounts receivable is converted to cash. Accounts receivable is the ratio of revenue and receivables.
Both accounts receivable and the average collection period are examples of activity ratios. Activity ratios calculates the efficiency with which a firm performs its daily tasks.
Accounts receivable = revenue / receivables
$2,953,600 / $397,615 = 7.428
The average collection period: 365/ receivables turnover
365 / 7.428 = 49.14
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Georgina sloberg submits a market order to sell 230 shares. what price will she receive?
She will receive a price of 102.
Market order to sell : implies that order will be executed at first bid price
Answer : 102.
A bid price is the highest fee that a customer is inclined to pay for a goods. It is also noted definitely because the bid. In bid and ask, the bid charge stands in contrast to the ask price or offer, and the distinction among the 2 is known as the bid ask spread.
The time period bid refers to the highest rate a purchaser can pay to buy a detailed variety of shares of a inventory at any given time. The term ask refers to the bottom fee at which a vendor will promote the inventory.
A trade will simplest occur whilst a person is willing to promote the safety on the bid price, or purchase it at the ask charge. Large firms referred to as market makers quote both bid and ask fees, thereby incomes a benefit from the spread.
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If a mortgage pool consists of five 10rms totaling $500,000, five 9rms totaling $450,000, and ten 8rms totaling $750,000, what is the weighted average coupon (wac) rate?
The weighted average coupon (WAC) rate would be 8.85%.
What is the weighted average coupon (WAC) rate?
The total amount of interest paid on all debt is the weighted average interest rate. By adding up all interest payments made throughout the measurement period and dividing by the entire amount of debt, this percentage is calculated.To determine the WAC each mortgage or MBS's remaining principal balance is multiplied by the coupon rate.Average% = (10*0.5 + 9* 0.45 + 8 * 0.75)/1.7
= 8.85%.
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Libor is generally _______________ the fed funds rate because foreign bank deposits are generally ________________ than domestic bank deposits.
LIBOR is generally greater than the Fed funds rate because foreign bank deposits are generally more risky than domestic bank deposits.
What is LIBOR?The top London-area banks' estimates are used to generate the average interest rate known as the London Inter-Bank Offered Rate. Each bank makes an estimate of the fees it would incur if it borrowed money from other banks. The average rate that results is commonly referred to as Libor or LIBOR.
It should be noted that LIBOR is generally greater than the Fed funds rate because foreign bank deposits are generally more risky than domestic bank deposits.
Therefore, the correct option is D.
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LIBOR is generally ________ the Fed funds rate because foreign bank deposits are generally ________ than domestic bank deposits.
A) greater than; less risky
B) less than; more risky
C) the same as; equally risk
D) greater than; more risky
Which type of business has owners that share the debts and the profits but avoid the expense of incorporation?
Answer:
Its Corperation.
Explanation:
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A+food-truck+can+produce+20+meals+per+hour.+the+demand+rate+is+25+meals+per+hour.+the+utilization+of+the+food-truck+is+___+%+(round+to+the+nearest+integer).
Based on the information provided, simple arithmetic suggests that the Utilization of the truck is 80%. See more explanation below.
What is capacity utilization?The capacity utilization rate quantifies the proportion of an organization's potential production that is actually realized.
A company's or a country's capacity utilization rate may be analyzed to offer insight into how effectively it is attaining its potential.
What is the computation justifying the above?Given:
Food produced by food truck = 20 meals per hour
Demand rate= 25 meals per hour
Utilization of food truck = (20/25)100
Hence Capacity Utilization = 80%
Learn more about capacity utilization:
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