7. Use this information below to answer the following question. Alcorn & Zeto Company Income Statement For the Year Ended December 31, 20x7 Revenues Net sales Dividend income Total revenues Costs and expenses Costs of goods sold Selling and administrative expenses Interest expense Total costs and expenses Income before income taxes Income taxes Net income $100,000 8,750 a. $83,750. b. $80,000. c. $75,000. d. $90,000. $ 25,000 23,750 6,250 $108,750 55.000 $ 53,750 19,500 $ 34,250 If the income statement were prepared in a multi-step form, gross profit from sales would be

7. Use this information below to answer the following question. Alcorn & Zeto Company Income Statement For the Year Ended December 31, 20x7 Revenues Net sales Dividend income Total revenues Costs and expenses Costs of goods sold Selling and administrative expenses Interest expense Total costs and expenses Income before income taxes Income taxes Net income $100,000 8,750 a. $83,750. b. $80,000. c. $75,000. d. $90,000. $ 25,000 23,750 6,250 $108,750 55.000 $ 53,750 19,500 $ 34,250 If the income statement were prepared in a multi-step form, gross profit from sales would be

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Assume the following sales data for a company: Current year $778,795 Preceding year 600,257 What is the percentage increase in sales from the preceding year to the current year?
A comparative income statement is given below for McKenzie Sales, Limited, of Toronto: McKenzie Sales, Limited Comparative Income Statement Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Total expenses Net operating income Interest expense Net income before taxes This Year $ 7,350,000 4,610,000 2,740,000 1,390,000 706,000 2,096,000 644,000 101,000 $ 543,000 Last Year $ 5,586,000 3,511,500 2,074,500 1,079,500 613,500 1,693,000 381,500 87,000 $ 294,500 Members of the company's board of directors are surprised to see that net income increased by only $248,500 when sales increased by $1,764,000. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).)
o. Horner Corporation reported net sales of $150.000, cost of goods sold of $96,000, operating expenses of $35,000, other expenses of $10,000, net income of $9,000. Calculate the following values. 1. Profit margin. 2. Gross profit rate.
Income statements for Franklin Company for Year 3 and Year 4 follow: FRANKLIN COMPANY Income Statements Year 4 Year 3 Sales $ 201,300 $181, 300 Cost of goods sold 143, 600 121,600 Selling expenses 20,100 18, 100 Administrative expenses 12,500 14,500 Interest expense 3, 900 5,900 Total expenses 180, 100 160, 100 Income before taxes 21, 200 21,200 Income taxes expense 6, 400 3,600 Net income $ 14,800 $ 17,600 Required Perform a horizontal analysis, showing the percentage change in each income statement component between Year 3 and Year 4. Perform a vertical analysis, showing each income statement component as a percentage of sales for each year.
Refer to the following selected financial information from Gomez Electronics. Compute the company's profit margin for Year 2. Net sales Cost of goods sold Interest expense Net income before tax Net income after tax Total assets Total liabilities Total equity Year 2 Year 1 $485,000 $427,550 277,600 251,420 11,000 12,000 68,550 53,980 47,350 41, 200 319,700 295,800 174,900 144, 800 168, 600 127, 200
Assume the following sales data for a company: Line Item Description Amount Current year $883,993 Preceding year 542,076 What is the percentage increase in sales from the preceding year to the current year? a. 63.08% b. 61.32% c. 163.08% d. 38.68%
Following is an incomplete current-year income statement. Determine Net Sales, Cost of goods sold and Net Income. Additional information follows: Return on total assets is 16% (average total assets is $62,500). Inventory turnover is 5 (average inventory is $7,800). Accounts receivable turnover is 8 (average accounts receivable is $7,700). Income Statement Net Sales Cost of goods sold Selling, general, and administrative expenses 8800 Income tax expenses 3800 Net Income
9 )
Get The Correct Answer
Income statements for Fanning Company for Year 3 and Year 4 follow. FANNING COMPANY Income Statements. Sales Cost of goods sold. Selling expenses Administrative expenses. Interest expense Total expenses Income before taxes Income taxes expense Net income Year 4 $200,200 143,800 20,500 12,500 3,500 $180, 300 19,900 5,900 $14,000 Year 3 $180, 200 121,800 18,500 14,500 5,500 $160,300 19,900 3,100 $16,800 Required a. Perform a horizontal analysis, showing the percentage change in each income statement component between Year 3 and Year 4. b. Perform a vertical analysis, showing each income statement component as a percentage of sales for each year.
Edison Company reported the following for the current year: $ 84,000 59,000 21,080 63,000 77,080 Net sales Cost of goods sold Net income Beginning balance of total assets Ending balance of total assets Compute (a) profit margin and (b) return on total assets. Complete this question by entering your answers in the tabs below. Profit Margin Ratio Compute the return on total assets. Return On Total Assets Numerator: 7 7 7 Return On Total Assets Denominator: = Return On Total Assets Return on total assets II =
Below are Income Statement data for Baker Corporation: Operating expenses $124,000, Other expenses $12,000, Income taxes $29,000, Cost of goods sold $101,000, and the Net revenue $333,000. What is the company's return on sales? A. 69.67% B. 16.92% C. 32.43% D. 20.12%