The Haines Corporation shows the following financial data for 20X1 and 20X2:20X2$ 3,000,0002,060,000$ 940,000300,000$ 640,00054,400$ 585,600204,960$ 380,640SalesCost of goods soldGross profitSelling & administrative expenseOperating profitInterest expenseIncome before taxesTaxes (35%)Income after taxes20X1$ 3,400,0001,880,000$ 1,520,000302,000$ 1,218,00048,000$ 1,170,000409,500$ 760,500For each year, compute the following ratios and indicate how the change in each ratio will affect profitability in 20x2.Note: Input your answers as a percent rounded to 2 decimal places.a. Cost of goods sold to salesb. Selling and administrative expense to salesc. Interest expense to sales20X1%%%20X2Profitability% Decrease% Increase% Decrease

Profitability Ratios are used to determine the ability of a company's financial performance by using…

Sales Cost of goods sold Gross profit Selling & administrative expense Operating profit Interest expense Income before taxes Taxes (35%) Income after taxes 20X1 $ 3,400,000 1,880,000 $ 1,520,000 302,000 $ 1,218,000 48,000 $ 1,170,000 409,500 $ 760,500 a. Cost of goods sold to sales b. Selling and administrative expense to sales c. Interest expense to sales For each year, compute the following ratios and indicate how the change in each ratio will affect profitability in 20X2. Note: Input your answers as a percent rounded to 2 decimal places. 20X1 20X2 $ 3,000,000 2,060,000 $ 940,000 300,000 $ 640,000 54,400 $ 585,600 204,960 $ 380,640 % % 20X2 Profitability % Decrease % Increase % Decrease

Sales Cost of goods sold Gross profit Selling & administrative expense Operating profit Interest expense Income before taxes Taxes (35%) Income after taxes 20X1 $ 3,400,000 1,880,000 $ 1,520,000 302,000 $ 1,218,000 48,000 $ 1,170,000 409,500 $ 760,500 a. Cost of goods sold to sales b. Selling and administrative expense to sales c. Interest expense to sales For each year, compute the following ratios and indicate how the change in each ratio will affect profitability in 20X2. Note: Input your answers as a percent rounded to 2 decimal places. 20X1 20X2 $ 3,000,000 2,060,000 $ 940,000 300,000 $ 640,000 54,400 $ 585,600 204,960 $ 380,640 % % 20X2 Profitability % Decrease % Increase % Decrease

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 1RE: Brandt Corporation had sales revenue of 500,000 for the current year. For the year, its cost of...

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Brandt Corporation had sales revenue of 500,000 for the current year. For the year, its cost of goods sold was 240,000, its operating expenses were 50,000, its interest revenue was 2,000, and its interest expense was 12,000. Brandts income tax rate is 30%. Prepare Brandts multiple-step income statement for the current year.
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Consider the following income statement: Sales Costs $ 602,184 391,776 Depreciation 89,100 Taxes Calculate the EBIT. EBIT 21% Calculate the net income. Net income
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SalesOperating costs (excluding depreciation and amortization) EBITDADepreciation and amortization Earnings before interest and taxes Interest Earnings before taxesTaxes (40%)Net income available to common stockholders Common dividendsSEBRINGCORPORATION: BALANCESHEETSFORYEARENDINGDECEMBER31 (FIGURES ARE STATED IN MILLIONS) Assets: Cash and marketable securities Accounts receivableInventories Total current assets Gross Fixed Assets Less DepreciationNet plant and equipment Total assets 2005 2004 $3,600.0 $3,000.0 $3,060.0 $2,550.0 $540.0 $450.0 90.0 75.0 $450.0 $375.0 65.0 60.0 $385.0 $315.0 154.0 126.0 $231.0 $189.0 $15.0 $13.0 2005 2004 $ 36.00 $ 30.00 $ 340.00 $ 250.00 $ 457.00 $ 351.00 $ 833.00 $ 631.00 $ 1,065.00 $ 825.00 $ (165.00) $ (75.00) $ 900.00 $ 750.00 $ 1,733.00 $ 1,381.00 $ 324.00 $ 270.00 $ 201.00 $ 155.00 $ 216.00 $ 180.00 $ 741.00 $ 605.00 $ 450.00 $ 450.00 $ 1,191.00 $ 1,055.00 $ 150.00 $ 150.00 $ 392.00 $ 176.00 $ 542.00 $ 326.00 $ 1,733.00 $ 1,381.00…
vi. Subject :- Accounting
Assume a company's Income Statement for Year 9 is as follows: Year 9 (in 000s) Income Statement Data Total Revenues Cost of Goods Sold Delivery Costs Marketing Costs Administrative Expenses Operating Profit (Loss) Other Income (Expense) Interest Income (Expense) Pre-tax Profit (Loss) Income Taxes Net Profit (Loss) $ 650,000 380,000 45,000 53,000 11,000 161,000 -2,600 -10,800 147,600 44,280 $ 103,320 Based on the above income statement data, the company's interest coverage ratio and its operating profit margin are 14.91 and 24.8%. 17.22 and 24.6%. 19.29 and 21.4%. 16.71 and 23.3%. 13.67 and 15.9%.
Please answer very fast then i ll upvote Calculate EBIT. Revenue 1,061,751.0 Cost of sales 690,135.0 Selling, general and administration 53,087.0 Other income 11,796.0 Operating income 330,325.0 Interest expense 19,874.0 Profit before tax 310,451.0 Tax expense 46,500.0 Net income 263,951.0 The footnotes mention the following: Cost of sales includes inventory write off costs 39,677.0 Cost of sales includes distribution costs 120,458.0 SG&A includes corporate restructuring expenses 15,570.0 Responses 385,572.0 275,078.0 330,325.0 506,030.0
Consider the following income statement: Sales $909,407 Costs 484,977 Depreciation 149,723 Taxes 0.28 Calculate OCF.
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