0
If depreciation exceeds gross investments, it indicates that the value of existing assets is declining faster than new investments are being made in the business. This can result in a net decline in productive capacity, potentially leading to reduced output and profitability over time. Companies in this situation may need to reassess their investment strategies to ensure long-term sustainability and growth. Failure to address this imbalance could jeopardize the organization's competitiveness and operational efficiency.
What else can I help you with?
Positive operating income will result if gross profit exceeds?
Positive Operating income will result if gross profit exceeds operating expenses
Net income will result if gross profit exceeds what?
expenses
Is Gross Profit Margin equals Sales Gross Profit x 100?
No, Gross Profit Margin is not calculated by simply multiplying Sales Gross Profit by 100. Instead, it is calculated by dividing Gross Profit by Total Sales and then multiplying by 100 to express it as a percentage. The formula is: Gross Profit Margin = (Gross Profit / Total Sales) x 100. This metric indicates what portion of sales revenue exceeds the cost of goods sold.
How do you calculate profit loss?
The basic equation goes: Gross Revenues - (Operational Costs + Cost of Goods Sold + Payroll + Depreciation/Amortization + Taxes) = Profit or (Loss)
Distinguish between depreciation policy and the concept of depreciation?
Depreciation policy is management thing that what depreciation method to use and how much depreciation to charge to each asset. Depreciation concepts are concepts which govern the depreciation process which management cannot change they are universal rules to follow depreciation that how straight line depreciation work etc.
When will a nation's capital stock decline?
when depreciation exceeds gross investment
Why accumulated depreciation exceed depreciation expense?
Depreciation expenses is for one specific fiscal year while accumulated depreciation is the sum of all depreciation expenses that’s why accumulated depreciation exceeds the depreciation if there is depreciation expense in prior year as well.
Positive operating income will result if gross profit exceeds?
Positive Operating income will result if gross profit exceeds operating expenses
What is Gross block?
Gross Block=Cost of fixed assets(cost of accumalating the asset)+depreciation.
What is the difference between gross and net dscr?
Gross DSCR= Cash accruals ( Profit after tax + Depreciation) + Interest ----------------------------------------------------------- Installments of loan + Interest Net DSCR = Cash Accruals (PAT + Depreciation) -------------------------------------- Installments
Net income will result if gross profit exceeds what?
expenses
What is the difference between gross private domestic investment and net private domestic investment?
is net invesment = gross investment - depreciation
Are gross domestic product and net national product equal?
(gross national product or GNP) minus depreciation = net national product
What has the author Albert Gross written?
Albert Gross has written: 'Investition' -- subject(s): Accounting, Capital, Capital investments
The is the Gross National Product minus the .?
A and C Net national product/ depreciation net national product/ capital consumption
What is the difference between GNP and NNP?
Gross National Product [GNP] is the gross value of all the final products without deducting the depreciation of fixed capital. It is the total of market value of final goods and services produced in a years. Net National Product [NNP] is the value of net output in an economy during a period of one year. The net national product is calculated by deducting depreciation from the gross national product. NNP = GNP - Depreciation
Define gross block and net block?
Net block is the gross block less accumulated depreciation on assets. Net block is actually what the asset are worth to the company
