Profit/loss equation
Not what you're looking for?
Compute the following:
A company grosses $100 million per year and shows a 12 percent profit. It hires a security director, a security staff, and security equipment, which costs the company $2 million per year but reduces its losses, or "shrinkage," from 9 percent to 5 percent of the gross.
How much money is the company making or losing as a result of installing a security program?
Purchase this Solution
Solution Summary
This provides an example of writing an equation for a word problem.
Solution Preview
Answer: The company earns $2 million more as a result of installing a security program.
Without installing of this security program, the company's profit is $100 * 12% = ...
Purchase this Solution
Free BrainMass Quizzes
Basics of corporate finance
These questions will test you on your knowledge of finance.
Social Media: Pinterest
This quiz introduces basic concepts of Pinterest social media
Transformational Leadership
This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.
Accounting: Statement of Cash flows
This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.
Lean your Process
This quiz will help you understand the basic concepts of Lean.