Garbarino Corporation Would Like to Determine the Relative Profitability of a Number

question 34

Multiple Choice

Garbarino Corporation would like to determine the relative profitability of a number of jobs.For illustration purposes, the company has provided the following data for job C54V: What is the profitability index for job C54V?

• A)$290 per hour
• B)$58 per hour
• C)0.30
• D)0.20

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Definitions:

Bonding Cashiers

A risk management practice where cashiers are insured against the risk of theft or embezzlement.

Property Insurance

Coverage that provides financial reimbursement to the owner or renter of a structure and its contents in the event of damage or theft.

Days' Sales Uncollected

A financial ratio that shows the average number of days it takes for a company to collect payment after a sale has been made.

Accounts Receivable

Receivables from clients for goods or services a company has provided but has not yet received payment for.