Sales Cost of goods sold Gross profit $175,000 105,000 $70,000 Prepare a vertical analysis of the income statement for Lucy Company. Lucy Company Vertical Analysis of the Income Statement Line Item Description Amount Percentage

Sales Cost of goods sold Gross profit $175,000 105,000 $70,000 Prepare a vertical analysis of the income statement for Lucy Company. Lucy Company Vertical Analysis of the Income Statement Line Item Description Amount Percentage

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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Question

Income statement information for Lucy Company is as follows:
Sales
Cost of goods sold
Gross profit
$175,000
105,000
$70,000
Prepare a vertical analysis of the income statement for Lucy Company.
Lucy Company
Vertical Analysis of the Income Statement
Line Item Description Amount Percentage
Sales
$175,000
Cost of goods sold
(105,000)
Gross profit
$70,000
%
%
%

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