Price-to-Earnings? COBRA? RFS?

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mattcat

July 26, 2020 01:29

Hey all, I have a few random PCM questions before my test on monday, would love any insight:

 

1. The AHPP (418) explains that “Profit-to-Earnings Ratio” = net profit (before tax & distributions) / Net Operating Revenue. However, “earnings” are defined, on 410 and elsewhere, as the amount of profit left over after distributions, and this isn’t part of the equation. Am I right to say that this is really a Profit-to-Revenue ratio, or more simply just a %profit? A true Profit-to-Earnings ratio would be talking about how much profit you share with your employees, basically. (Also confusingly it is referred to as a P-E ratio elsewhere which, much more commonly, means Price-to-Earnings ratio for a stock)

 

2.AHPP (451) sets the requirement for COBRA coverage at 15+ employees, but all other sources I find say 20+. I’m assuming the AHPP is wrong here?

 

3. I saw a Black Spectacles video talking about an “RFS - Request for Services”, vs an RFP. I’ve never seen that term anywhere else - it’s not really even googlable - has anyone else?

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  carsonarchitect July 26, 2020 04:03

  Hey Matthew ~

  Typically I reserve my "chiming" for factoids that I am confident in sharing; however, since you have an exam on Monday, I will share my thoughts in case no one has time to attend.

   

  #1. & 2/ If you are skeptic on findings in the AHPP, trust your gut. I don't believe NCARB is going this deep into 'these' difference; for likeminds, I now want to know. That said, ask that question while studying the different firm organizational structures; as company earnings vary from shareholders-chairmen, corporate entity tpartners-members, etc. This is what I believe they are pushing us to learn more about with this type finance Q.

  #3. Request for Service would be a term mentioned in public, or possibly at the water-cooler; so again NCARB is possible attempting to get us focuses on the difference between R.F.P / R.F.I. / R.F.Q.  Try researching and mastering your thoughts on how these (3) differ, it sure helped me.

  "perseverance winks at luck, says: how does it feel to be #2" ~ unknown proverb

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  Savannah Steele July 26, 2020 05:58

  @paul thank you—for the unknown’s proverb especially

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  carsonarchitect July 27, 2020 02:33

  Haha, thx. the reason it's unknown, is the fact that I physically and mentally have so much passion in architecture; that with no one to group with to assist in studies, I tend to invent proverb without even trying.  I am sure we all do the same, it's enjoyable as "word of the day"...make up a word, share it with colleagues/friends/family/strangers; and see where it goes. STAY-POSI

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