Here are the comparative income statements of Pharoah Corporation. PHAROAH CORPORATION Comparative Income Statement For the Years Ended December 31               2022   2021 Net sales   $609,000   $500,400 Cost of goods sold   463,000   428,500 Gross Profit   146,000   71,900 Operating expenses   77,800   40,300 Net income   $ 68,200   $ 31,600 (a) Prepare a horizontal analysis of the income statement data for Pharoah Corporation, using 2021 as a base. (If amount and percentage are a decrease show the numbers as negative, e.g. -55,000, -20% or (55,000), (20%). Round percentages to 1 decimal place, e.g. 12.1%.) PHAROAH CORPORATION Comparative Income Statement choose the accounting period                                                           For the Years Ended December 31For the Month Ended December 31December 31           Increase or (Decrease) During 2022   2022   2021   Amount   Percentage Net sales $609,000   $500,400   $enter a dollar amount    enter percentages rounded to 1 decimal place % Cost of goods sold 463,000   428,500   enter a dollar amount   enter percentages rounded to 1 decimal place % Gross Profit 146,000   71,900   enter a dollar amount   enter percentages rounded to 1 decimal place % Operating expenses 77,800   40,300   enter a dollar amount   enter percentages rounded to 1 decimal place % Net income $ 68,200   $ 31,600   $enter a dollar amount    enter percentages rounded to 1 decimal place % (b) Prepare a vertical analysis of the income statement data for Pharoah Corporation for both years. (Round percentages to 1 decimal place, e.g. 12.1%.) PHAROAH CORPORATION Condensed Income Statements choose the accounting period                                                           For the Years Ended December 31For the Month Ended December 31December 31   2022   2021   $   Percent   $   Percent Net sales $609,000   enter percentages rounded to 1 decimal place %   $500,400   enter percentages rounded to 1 decimal place % Cost of goods sold 463,000   enter percentages rounded to 1 decimal place %   428,500   enter percentages rounded to 1 decimal place % Gross Profit 146,000   enter percentages rounded to 1 decimal place %   71,900   enter percentages rounded to 1 decimal place % Operating expenses 77,800   enter percentages rounded to 1 decimal place %   40,300   enter percentages rounded to 1 decimal place % Net income $ 68,200   enter percentages rounded to 1 decimal place %   $ 31,600   enter percentages rounded to 1 decimal place %

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Here are the comparative income statements of Pharoah Corporation.

PHAROAH CORPORATION
Comparative Income Statement
For the Years Ended December 31
         
   
2022
 
2021
Net sales
 
$609,000
 
$500,400
Cost of goods sold
 
463,000
 
428,500
Gross Profit
 
146,000
 
71,900
Operating expenses
 
77,800
 
40,300
Net income
 
$ 68,200
 
$ 31,600

(a)

Prepare a horizontal analysis of the income statement data for Pharoah Corporation, using 2021 as a base. (If amount and percentage are a decrease show the numbers as negative, e.g. -55,000, -20% or (55,000), (20%). Round percentages to 1 decimal place, e.g. 12.1%.)

PHAROAH CORPORATION
Comparative Income Statement
choose the accounting period                                                           For the Years Ended December 31For the Month Ended December 31December 31
         
Increase or (Decrease) During 2022
 
2022
 
2021
 
Amount
 
Percentage
Net sales
$609,000
 
$500,400
 
$enter a dollar amount 
 
enter percentages rounded to 1 decimal place
%
Cost of goods sold
463,000
 
428,500
 
enter a dollar amount
 
enter percentages rounded to 1 decimal place
%
Gross Profit
146,000
 
71,900
 
enter a dollar amount
 
enter percentages rounded to 1 decimal place
%
Operating expenses
77,800
 
40,300
 
enter a dollar amount
 
enter percentages rounded to 1 decimal place
%
Net income
$ 68,200
 
$ 31,600
 
$enter a dollar amount 
 
enter percentages rounded to 1 decimal place
%

(b)

Prepare a vertical analysis of the income statement data for Pharoah Corporation for both years. (Round percentages to 1 decimal place, e.g. 12.1%.)

PHAROAH CORPORATION
Condensed Income Statements
choose the accounting period                                                           For the Years Ended December 31For the Month Ended December 31December 31
 
2022
 
2021
 
$
 
Percent
 
$
 
Percent
Net sales
$609,000
 
enter percentages rounded to 1 decimal place
%
 
$500,400
 
enter percentages rounded to 1 decimal place
%
Cost of goods sold
463,000
 
enter percentages rounded to 1 decimal place
%
 
428,500
 
enter percentages rounded to 1 decimal place
%
Gross Profit
146,000
 
enter percentages rounded to 1 decimal place
%
 
71,900
 
enter percentages rounded to 1 decimal place
%
Operating expenses
77,800
 
enter percentages rounded to 1 decimal place
%
 
40,300
 
enter percentages rounded to 1 decimal place
%
Net income
$ 68,200
 
enter percentages rounded to 1 decimal place
%
 
$ 31,600
 
enter percentages rounded to 1 decimal place
%
 
 
 
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