a. Prepare a comparative income statement for these two years in vertical form, stating each item as a percent of revenues. Round to one decimal place. Enter allamounts as positive numbers.Calvin Motorsports, Inc.Comparative Income Statement (in thousands of dollars)For the Years Ended December 31Current Year Amount Current Year PercentPrior Year Amount Prior Year PercentRevenues:Admissions$103,806%$116,632%Event-related revenue144,570%141,520NASCAR broadcasting revenue171,114%161,528Other operating revenue54,510%68,320%Total revenue$474,000%$488,000%Expenses and other:Direct expense of events$96,696%$101,992%NASCAR event management fees113,760%117,120%Other direct operating expenses22,752%25,864%General and administrative192,444%221,064%Total expenses and other$425,652%$466,040%Income from continuing operations$48,348%$21,960% Vertical Analysis of Income StatementThe following comparative income statement (in thousands of dollars) for two recent fiscal years was adapted from the annual report of Calvin Motorsports, Inc.,owner and operator of several major motor speedways, such as the Atlanta, Texas, and Las Vegas Motor Speedways.Current YearPrevious YearRevenues:Admissions$103,806$116,632Event-related revenue144,570141,520NASCAR broadcasting revenue171,114161,528Other operating revenue54,51068,320Total revenue$474,000$488,000Expenses and other:Direct expense of events$96,696$101,992NASCAR event management fees113,760117,120Other direct operating expenses22,75225,864General and administrative192,444221,064Total expenses and other$425,652$466,040Income from continuing operations$48,348$21,960

Calvin Motorsports Inc Comparative Income Statement($) For the year ended December 31…

a. Prepare a comparative income statement for these two years in vertical form, stating each item as a percent of revenues. Round to one decimal place. Enter a amounts as positive numbers. Calvin Motorsports, Inc. Comparative Income Statement (in thousands of dollars) For the Years Ended December 31 Current Year Amount Current Year Percent Prior Year Amount Prior Year Percent Revenues: Admissions $103,806 $116,632 % Event-related revenue 144,570 141,520 % NASCAR broadcasting revenue 171,114 161,528 % Other operating revenue 54,510 68,320 % Total revenue $474,000 $488,000 % Expenses and other: Direct expense of events $96,696 $101,992 % NASCAR event management fees 113,760 % 117,120 % Othor diront onorntin 22 752

a. Prepare a comparative income statement for these two years in vertical form, stating each item as a percent of revenues. Round to one decimal place. Enter a amounts as positive numbers. Calvin Motorsports, Inc. Comparative Income Statement (in thousands of dollars) For the Years Ended December 31 Current Year Amount Current Year Percent Prior Year Amount Prior Year Percent Revenues: Admissions $103,806 $116,632 % Event-related revenue 144,570 141,520 % NASCAR broadcasting revenue 171,114 161,528 % Other operating revenue 54,510 68,320 % Total revenue $474,000 $488,000 % Expenses and other: Direct expense of events $96,696 $101,992 % NASCAR event management fees 113,760 % 117,120 % Othor diront onorntin 22 752

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows: Current Year Previous YearSales $4,000,000 $3,600,000Cost of goods sold 2,280,000 1,872,000Selling expenses 600,000 648,000Administrative expenses 520,000 360,000Income tax expense 240,000 216,000a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. Round to the nearest whole percentage.b. Comment on the significant changes disclosed by the comparative income statement.
Horizontal Analysis of the Income Statement Income statement data for Winthrop Company for two recent years ended December 31, are as follows: Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Total operating expenses Income before income tax Income tax expenses Net income Current Year $381,300 312,000 $69,300 $19,210 18,150 $37,360 $31,940 12,800 $19,140 Previous Year $310,000 260,000 $50,000 $17,000 15,000 $32,000 $18,000 7,200 $10,800
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Vertical Analysis of Income Statement The following comparative income statement (in thousands of dollars) for the two recent fiscal years was adapted from the annual report of Calvin Motorsports, Inc., owner and operator of several major motor speedways, such as the Atlanta, Texas, and Las Vegas Motor Speedways. Current Year Previous Year Revenues: Admissions $112,050 $125,195 Event-related revenue 139,938 149,212 NASCAR broadcasting revenue 185,754 175,273 Other operating revenue 60,258 61,320 Total revenue $498,000 $511,000 Expenses and other: Direct expense of events $102,588 $100,667 NASCAR purse and sanction fees 128,484 132,860 Other direct expenses 28,884 30,149 General and administrative 184,758 217,686 Total expenses and other $444,714 $481,362 Income from continuing operations $53,286 $29,638 a. Prepare a…
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