Profit per employee is the ratio of a company's profit to its employee strength. For this purpose, the employee strength in a year is the average of the employee strength at the beginning of that year and the beginning of the next year. In 2020, which of the four companies had the highest profit per employee?
Explanation:
Consider the solution for first question of this set.
Profit / (Average employee) ratio in 2020 for
Income / Expense / Profit
Employees
A = 25140+1502 = 50290 = 529
B = 50240+2102 = 100450 = 29
C = 10325+3252 = 20650 = 265
D = -30410+4002 = -60810
This ratio is highest for Company B.
Hence, option (a).
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