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

question 17

Multiple Choice

Rognstad 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 M38S:
What is the profitability index for job M38S?

• A) $360 per hour
• B) 0.20
• C) 0.40
• D) $144 per hour