Home depot and lowes are two companies in the same industry

Reference no: EM13570478

Home Depot and Lowe's are two companies in the same industry. Comparative data for two years are given below:

Home Lowe's
Depot
Sales revenue 20X1 $905,520 $1,090,000
20X6 1,950,000 2,962,500
Number of employees 20X1 1,750 2,500
20X6 2,250 4,375
Assume each 20X1 dollar is equivalent to 1.90 of each 20X6 dollar due to inflation.

Required:

A) After considering inflation, compute the revenue per employee for each company for 20X1 and 20X6.

B) What is the change in productivity between the five years for each company?.Comparative data for two years are given below:

Home Lowe's
Depot
Sales revenue 20X1 $905,520 $1,090,000
20X6 1,950,000 2,962,500
Number of employees 20X1 1,750 2,500
20X6 2,250 4,375
Assume each 20X1 dollar is equivalent to 1.90 of each 20X6 dollar due to inflation.

Required:

A) After considering inflation, compute the revenue per employee for each company for 20X1 and 20X6.

B) What is the change in productivity between the five years for each company?

Reference no: EM13570478

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