Express the following income statement information in common-size percents (round to nearest whole percent). Comment on the financial results in 2018 vs 2017. Thorsten Corp. Comparative Income Statements For Years Ended December 31, 2017 and 2018 2018 Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Net profit $1,200,000 804,000 396,000 132,000 180,000 $84,000 2017 $1,000,000 650,000 $350,000 120,000 150,000 $80,000 Prepare a waterfall chart to show the increase/decrease from sales to net profit for year 2012. Compare that with 2011 to see if there are significant changes.

Express the following income statement information in common-size percents (round to nearest whole percent). Comment on the financial results in 2018 vs 2017. Thorsten Corp. Comparative Income Statements For Years Ended December 31, 2017 and 2018 2018 Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Net profit $1,200,000 804,000 396,000 132,000 180,000 $84,000 2017 $1,000,000 650,000 $350,000 120,000 150,000 $80,000 Prepare a waterfall chart to show the increase/decrease from sales to net profit for year 2012. Compare that with 2011 to see if there are significant changes.

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

Performing horizontal analysis—income statement Data for Mulberry Designs, Inc. follow: Requirements Prepare a horizontal analysis of the comparative income statement of Mulberry Designs, Inc. Round percentage changes to one decimal place. Why did 2018 net income increase by a higher percentage than net sales revenue?
What is the percent change in a trend analysis of income statement for the gross profit?
Analysis and Interpretation of ProfitabilityBalance sheets and income statements for Costco Wholesale Corporation follow. Costco Wholesale Corporation Consolidated Statements of Earnings For Fiscal Years Ended ($ millions) September 2, 2018 Total revenue $141,576 Operating expenses Merchandise costs 123,152 Selling, general and administrative 13,876 Preopening expenses 68 Operating Income 4,480 Other income (expense) Interest expense 159 Interest income and other, net (121) Income before income taxes 4,442 Provision for income taxes 1,263 Net income including noncontrolling interests 3,179 Net income attributable to noncontrolling interests (45) Net income attributable to Costco $3,134 Costco Wholesale Corporation Consolidated Balance Sheets ($ millions, except par value and share data) September 2, 2018 September 3, 2017 Current assets Cash and cash equivalents $6,055 $4,546 Short-term investments 1,204 1,233…
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
- What are the firm’s current ratios for 2018 and 2019?
Data for Sherman, Inc. are as follows: Net Sales Cost of Goode Sold Selling and Administrative Expenses Other Expenses Income Tax 2017 $850,000 635,000 50,000 20,000 40,000 Use the editor to format your answer 2016 $798,000 580,000 35,000 15,000 55,000 Prepare a horizontal analysis of the comparative income statement of Sherman, Inc. (Round to one decimal place.) Use a multi-step income statement.
discuss the results of the Company's Horizontal and Vertical Analysis from 2014-2018
Waterway Corporation, Inc. has the following income statement (in millions): Waterway Corporation, Inc. Income Statement For the Year Ended December 31, 2017 Net Sales $390 Cost of Goods Sold 311 Gross Profit 79 Operating Expenses 40 Net Income $39 Using vertical analysis, what percentage is assigned to net income? 100% 90% O 10% O 17%
Using the following selected items from the comparative balance sheet of Oriole Products.Determine the horizontal analysis. (Round percentages to 2 decimal places, e.g. 12.21%. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) ORIOLEPRODUCTSComparative Balance SheetDecember 31 2014 2013 Horizontal analysis Amount Percentage Amount Percentage Current assets $110,880 enter percentages % $128,216 enter percentages % Long-term assets 174,240 enter percentages % 117,304 enter percentages % Total assets 3,168,000 enter percentages % 2,728,000 enter percentages % Determine the vertical analysis. (Round percentages to 1 decimal place, e.g. 12.2%.) ORIOLEPRODUCTSComparative Balance SheetDecember 31 2014 2013 Vertical analysis Amount Percentage Amount Percentage Current assets $110,880…
Given the historical income statement of Mega Trade Inc., how much would be added to the company's retained earning for the year 2016 (in millions)? Income Statement ( $ Million) Year End 2015 2016 2017 2019 Sales 1, 234.90 1,251.70 1,300.40 1,334.40 Cost of Sales -679.1 -659 -681.3 -667 Gross Operating Income Selling & Administration -339.7 -348.6 -351.2 -373.3 Depreciation -47.5 -52 -55.9 -75.2 Other Income / Expenses 11.8 7.6 7 8.2 Earnings Before Interest and Taxes Interest Income 1.3 1.4 1.7 2 Interest Expense -16.2 -15.1 -20.5 -23.7 Pre Tax Income Income Taxes -56.8 -64.2 -67.5 -72.6 Net Income Dividends -38.3 -38.7 -39.8 -40.1
Please help