Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

What is the excel input formula in the above question? Especially in all other conditions part Trading Account Expense Ratio Trading account expenses are expressed

image text in transcribed

What is the excel input formula in the above question? Especially in all other conditions part

Trading Account Expense Ratio Trading account expenses are expressed as a percentage of trading account revenue. For example, if trading account revenue is $20,000 and the expense ratio is 60 percent, the trading account expenses are $12,000 and the trading account gross profit would be $8,000. The expense ratio can exceed 100 percent if there are trading losses in addition to salaries and overhead. If volatility during a year is expected to be high and the economy during that year is expected to be poor, the trading account expense ratio should be 110 percent. If volatility during a year is expected to be normal and the economy during that year is expected to be poor, the trading account expense ratio should be 90 percent. In all other conditions, the expense ratio is expected to be 60 percent. Format cells for percentages

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting, Enhanced

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

11th Edition

1119594596, 9781119594598

More Books

Students also viewed these Accounting questions

Question

DO CONTRACT WORKERSGETTHE SAME ENTITLEMENTS AS EMPLOYEES?

Answered: 1 week ago

Question

2.5 Describe the purpose of employment equity programs.

Answered: 1 week ago