Explanation:
Step 1: Compute the total Reyes Heslop profits excluding Leisure.
(6.3 + 7.2 +5.0) + (3.8 + 5.8 + 4.4) + (3.6 + 5.9 + 4.5) + (6.2 +5.1 + 3.5) = 61.3million.
Step 2: For the condition to be met, this must be 3⁄4 percent of all profits. As a result, total profits across all industries would be 61.3 / 75% = 81.7333 million.
Step 3: We now examine the gap between actual and target Leisure profits.
Actual = = (4.6 + 7.4 + 5.2) = 17.2
Target = (81.7333 – 61.3) = 20.4333
Shortfall = 3.2333 (millions)
Note that the INCORRECT way to answer this question would be to add profits from all areas, calculate 14, and then divide that figure by 17.2 million. This method would compute 1⁄4 of the profits, including the Leisure reduction.
Explanation:
Step 1: Compute the total Reyes Heslop profits excluding Leisure.
(6.3 + 7.2 +5.0) + (3.8 + 5.8 + 4.4) + (3.6 + 5.9 + 4.5) + (6.2 +5.1 + 3.5) = 61.3million.
Step 2: For the condition to be met, this must be ¾ percent of all profits. As a result, total profits across all industries would be 61.3 / 75% = 81.7333 million.
Step 3: We now examine the gap between actual and target Leisure profits.
Actual = = (4.6 + 7.4 + 5.2) = 17.2
Target = (81.7333 – 61.3) = 20.4333
Shortfall = 3.2333 (millions)
Note that the INCORRECT way to answer this question would be to add profits from all areas, calculate 14, and then divide that figure by 17.2 million. This method would compute ¼ of the profits, including the Leisure reduction.
Explanation:
Step 1: The share price of Drebs Ltd is shown as 18 Euros at today's prices.
This represents a 40% increase and 1.40 (140%) of the price one month ago.
Step 2: The previous month's price is calculated as 18 ÷ 1.40 = 12.86.
Explanation:
Step 1: The Taber and Ursa cars cost £12,500 and £15,250, respectively.
Step 2: Because the quantities of each car purchased must be equal, compute the total.
The total cost is £12,500 + £15,250 = £27,750.
Step 3: £600,000 ÷ £27,750 = 21.6
Explanation:
Step 1: The Xtam's highway fuel consumption is listed as 34 miles per gallon.
So, 4,250 miles ÷ 34 = 125 gallons per month.
Step 2: Annual gasoline consumption = 125 x 12 = 1,500 gallons.
Explanation:
The profit-to-turnover ratio for contracts is 2:15 (£3.6 million).
Turnover is equal to £3.6 million times 15/2, or £27 million, or 270 (in £100,000s).
Explanation:
The graph of IT spending in the legal sector provides the data we require.
Step 1: Determine the increases for each category of IT spending.
IT hardware = 45 (increase of £5 million from Year 4)
IT software = 30 (increase of £5 million from Year 4)
IT consulting = 20 (increase of £5 million from Year 4)
Step 2: Determine the total for the following year, which is the anticipated year 5. The same increase of £5 million will take place in IT hardware, software, and consulting due to the even growth.
Total = 45 + 30 + 20 + (3 x 5) = £110 million
