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Do not copy other CHEGG answers because numbers and instructions are different!! therefor it would be a wrong answer for this problem!! Clearly label computations
Do not copy other CHEGG answers because numbers and instructions are different!! therefor it would be a wrong answer for this problem!!
Clearly label computations and answers to problems. Financial statements should be prepared in proper form. SHOW ALL WORK!
2012 | 2013 | |
1. Number of jobs billed | 40 | 55 |
2. Selling price per job | $45,000 | $42,000 |
3. Software-implementation labor-hour | 25,000 | 28,000 |
4. Cost per software-implementation labor-hour | $58 | $60 |
5. Software-implementation support capacity (number of jobs it can do) | 70 | 70 |
6. Total cost of software-implementation support | $224,000 | $252,000 |
7. Software-implementation support-capacity cost per job (row 6/row 5) | $3,200 | $3,600 |
1.) Calculate the operating income of Southland Corporation in 2012 and 2013.
2.) Calculate the growth, price-recovery, and productivity components that explain the change in operating income from 2012 to 2013.
3.) Comment on your answer in requirement 2. What do these components indicate?
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