Akerley Convention Center. had a net income of $33,000 and $138,000 for the current and prior years, respectively. Net sales were $115,000 for the current year and $152,000 the prior year. The industry reported a net profit ratio of 83.44% last year and 23.76% this year. a) Calculate Akerley's net profit ratio for the current year to two decimal places. b) Calculate Akerley's net profit ratio for the previous year to two decimal places. c) Is the change in Akerley's net profit ratio favorable or unfavorable?

Akerley Convention Center. had a net income of $33,000 and $138,000 for the current and prior years, respectively. Net sales were $115,000 for the current year and $152,000 the prior year. The industry reported a net profit ratio of 83.44% last year and 23.76% this year. a) Calculate Akerley's net profit ratio for the current year to two decimal places. b) Calculate Akerley's net profit ratio for the previous year to two decimal places. c) Is the change in Akerley's net profit ratio favorable or unfavorable?

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

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.
Monroe Milk Company has a gross margin of 31.7% on net sales of $9,865,214 and total assets of $7,125,852. The company has a current ratio of 2.7 times, accounts receivable of $1,715,363, cash of $315,488, and current liabilities of $870,938. Based on the information above, what are the days of sales outstanding?
Determining Cost of Goods Sold For a recent year, TechMart reported sales of $30,742 million. Its gross profit was $7,071 million. What was the amount of TechMart's cost of goods sold? (Enter answer in millions.)
I need to find which year had the better performance . if : this years information : returns 8% with net sales of 756,000 last years information: returns 11.5% with gross sales of 875,000
During the current year, Sokowski Manufacturing earned income of $396,900 from total sales of $6,300,000 and average capital assets of $12,900,000. What is the sales margin? If required, round your answer to one decimal place. _____%
During the current year, Sokowski Manufacturing earned income of $347,760 from total sales of $5,520,000 and average capital assets of $12,000,000. A. Based on this information, calculate asset turnover. If required, round your answer to two decimal places. fill in the blank 1 times B. Assume sales margin is 6.3%, what is the total ROI for the company during the current year?. If required, round your answer to one decimal place. fill in the blank 2%
BC Training reports sales revenue of $2,800,000. Average inventory during the year was $130,000. The inventory turnover ratio for the year is 8.0.What amount of gross profit would the company report in its income statement? Gross profit
Adams Furniture has a quick ratio of 2.00x, $37,575 in cash, $20,875 in accounts receivable, some inventory, total current assets of $83,500, and total current liabilities of $29,225. The company reported annual sales of $100,000 in the most recent annual report. Additionally, the company’s cost of goods sold is 75% of sales. Over the past year, how often did Adams Furniture sell and replace its inventory? 8.01x 3.29x 2.86x 2.99x
During the current year, Sokowski Manufacturing earned income of $292,400 from total sales of $4,300,000 and average capital assets of $10,000,000. A. Based on this information, calculate asset turnover. If required, round your answer to two decimal places. fill in the blank times B. Assume sales margin is 6.8%, what is the total ROI for the company during the current year?. If required, round your answer to one decimal place. fill in the blank %
Jefferson Memorial Hospital is an investment center as a division of Hospitals United. During the past year, Jefferson reported an after-tax income of $7 million. Total interest expense was $3,400,000, and the hospital tax rate was 30%. Total assets totaled $70.3 million, and non-interest-bearing current liabilities were $23,300,000. The required rate of return established by Jefferson is equal to 17% of invested capital. What is the residual income of Jefferson Memorial Hospital? Enter your answer in whole dollar.
A company reports the following amounts at the end of the year. Total sales revenue = $410,000; cash = $38,000; sales discounts=$15,000; accounts receivable = $20,000; sales returns = $25,000; operating expenses = $72,000; sales allowances = $25,000. Compute net revenues. net revenue=.
Want Answer