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Control ratios: Three important ratios are usually used by the management to find out whether the variations from budgeted results are unfavorable or favorable. These ratios are expressed as percentages and any ratio beyond 100% is favorable and an ratio less than 100% is unfavorable. The three ratios are:
a) Activity Ratio: this ratio is a measure of the level of activity attained over a period.
b) Capacity Ratio: capacity ratio specifies whether and to what extent budgeted hours of activity are actually utilized..
c) Efficiency Ratio: Efficiency ratio specifies the degree of efficiency attained in production.
Reston, Inc., has asked your corporation, Pruro, Inc., for financial assistance. As a long-time customer of Reston, your firm has decided to give that assistance. The question you
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Working and function of stock exchange
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Explain contingent exposure and define the advantages of using currency options to manage this type of currency exposure. Answer: Companies may come across a state where they m
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