Various financial data for SunPath Manufacturing for 2012 and 2013 follow.
What is the percentage change in SunPath's total productivity measure between 2012 and 2013?
A)-9.22
B)2.33
C)-0.53
D)2.88
E)10.39

Question

Quizplus · Accepted Answer

To calculate the percentage change in SunPath's total productivity measure between 2012 and 2013, we need to calculate the growth rate using the following formula:

Growth rate = [(Ending value - Beginning value) / Beginning value] * 100%

For SunPath's total productivity measure, the beginning value for 2012 is $6,000,000, and the ending value for 2013 is $6,180,000, so:

Growth rate = [($6,180,000 - $6,000,000) / $6,000,000] * 100%
Growth rate = [$180,000 / $6,000,000] * 100%
Growth rate = 0.03 * 100%
Growth rate = 3%

Therefore, the percentage change in SunPath's total productivity measure between 2012 and 2013 is 3%, or 0.03, which is closest to answer choice D (2.88).

Various Financial Data for SunPath Manufacturing for 2012 and 2013