None Patricia Joy established her cakes and pastries business in 2018 and has beenoperating for over three years now. She wants to conduct a more comprehensiveanalysis using horizontal and vertical analysis using the three-year data on herincome statement. The following figure shows her business's Income Statementfrom 2018 to 2020.RevenuePatricia Joy Cakes and PastriesIncome Statement201820192020Cakes and Pastries IncomeP145,760PTotal Income145,760124,481124,481P207,707207,707ExpensesSalaries and WagesUtilities ExpenseSupplies ExpenseInternet ExpenseRent Expense4,90013,50020,50826,75513,83437,04013,77719,70118,55833,89030,8365,25453,5574,38220,350Depreciation Expense9.580Total Expenses102.4029.58099,71312,580146,467Net Income43.358-24.768-61,240Using the income statement presented, perform the following tasks.1. Prepare a horizontal analysis for the two-year data.December 31, 2021:Cash: P58,760• Accounts Receivable: P25,087Inventory: P17,800· Property and Equipment: P35,800December 31, 2020:Cash: P45,050Accounts Receivable: P13,079Inventory: P27,390• Property and Equipment: P57,408

Horizontal Analysis Formula:Horizontal Analysis TableItem201820192020Change (2018-2019)Change…

Answered: Patricia Joy established her cakes and…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter2: Introduction To Financial Statements

Section: Chapter Questions

Problem 1PA: The following information is taken from the records of Baklava Bakery for the year 2019. A....

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The following information is taken from the records of Baklava Bakery for the year 2019. A. Calculate net income or net loss for January. B. Calculate net income or net loss for February. C. Calculate net income or net loss for March. D. For each situation, comment on how a stakeholder might view the firms performance. (Hint: Think about the source of the income or loss.)
Using the following select financial statement information from Mover Supply Depot, compute the accounts receivable turnover ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Mover Supply Depot if the industry average is 4 times?
Using the following select financial statement information from Black Water Industries, compute the number of days sales in receivables ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Black Water Industries?
Cafua Corporation makes cell phone covers and has the following comparative income statement for the years ended December 31, 2025 and 2024: (Cick the icon to view the comparative income statement.) Read the requirement. Begin by completing a horizontal analysis of Cafua Corporation's income statement. (Use a minus sign or parentheses to show an amount and/or percentage decrease. Round all percentages to the nearest tenth percent, X.X. For example, enter 10.2% as 10.2. Complete all input boxes. If the base amount is $0, enter a "0" in the percentage column.) Revenues: Net Sales Revenue Other Revenues Total Revenues Expenses: Cost of Goods Sold Engineering, Selling, and Administrative Expenses Interest Expense Income Tax Expense Other Expenses Total Expenses Cafua Corporation Income Statement Years Ended December 31, 2025 and 2024 Net Income 2025 $ $ 1,100,000 $ 1,000,000 9,000 1,100,000 1,009,000 781,000 205,700 26,400 27,500 8,800 2024 1,049,400 50,600 $ 673,000 193,000 15,000 14,000…
The image shown is my computation from peso value to percentage ratio of Lannister Comprehensive Income, pls. recheck my computation and create a profitability analysis to each of the account, provide conclusion and 3-4 recommendations
Please see the picture below. I need help making a retained earnings statement, a balance statement, a comprehensive income statement and calculate the profit margin and the gross profit rate for the income statement I've included. Note that I have included the Income statement below. Note that I have included all the information that was made available to me. I need this asap. Big John's Merch Income statement For the month ending February 28, 2022 Sales - $50,000 Costs of goods sold- $12,500 Operating expenses Salaries- $2,500 Rent- $800 Advertising- $500 Depreciation- $300 Utilities- $75 Revenues and Expenses Internet revenues- $2,000 Internet expense- $150 Insurance expense- $400 Other revenues- $3,500
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Review the select information for Bean Superstore and Legumes Plus (industry competitors), and then complete the following. A. Compute the accounts receivable turnover ratios for each company for 2018 and 2019. B. Compute the number of days sales in receivables ratios for each company for 2018 and 2019. C. Determine which company is the better investment and why. Round answers to two decimal places.
The following select financial statement information from Candid Photography. Compute the accounts receivable turnover ratios and the number of days sales in receivables ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Candid Photography if industry average for accounts receivable turnover ratio is 3 times and days sales in receivables ratio is 150 days?
The following information is taken from the financial statements of Down Home Deli for the last three years. The owner, John Walton is quite pleased to see that his sales are growing steadily. 2018 2017 2016 Sales $ 61,500 $ 50,400 $ 42,000 Cost of goods sold 27,670 21,170 16,800 Operating income 7,530 6,050 4,620 Net income 3,075 4,030 2,940 Instructions: (a) Calculate gross profit margin, profit margin, and profit margin using operating income. (b) Comment on whether the Deli is, in fact, doing better over the three years as John believes.
A. Zienna Inc. is concerned about the level of its advertising and office salaries expense. Selected statement of Comprehensive income data from 2018 to 2020 appear below. 2020 2019 2018 Sales 140,000.00 60,000.00 37,500.00 Gross Profit 89,600.00 37,200.00 22,500.00 Advertising Expense 7,000.00 3,300.00 2,250.00 Office Salaries Expense Profit 22,400.00 9.000.00 4,500.00 30,800.00 13,800.00 9,000.00 Required: Calculate trend percentage for sales, advertising expense and office salaries expense. Use 2018 as the base year. Round off to the nearest percent.
Snyder Brush Company sells standard hair brushes. The following information summarizes Snyder's operating activities for 2024: 1(Click the icon to view the information.) Requirements 1. Calculate the operating income for 2024. 2. Snyder sold 5,400 brushes in 2024. Compute the unit cost for one brush. Requirement 1. Calculate the operating income for 2024. Snyder Brush Company Income Statement Year Ended December 31, 2024 Revenue: (1) Cost of Goods Sold: (2) (3) (4) (5) Cost of Goods Sold Gross Profit (6) Operating Income Requirement 2. Snyder sold 5,400 brushes in 2024. Compute the unit cost for one brush. (Round your answer to the nearest cent.) Cost per brush = 1: Data Table…

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