Homework Help is Here – Start Your Trial Now!
Business
Accounting
The comparative income statement and balance sheet of Cowan Kitchen Counters, Inc. are shown. Net Sales (all on account) Cost of goods sold Gross profit Operating expenses Other expense (interest) Income tax expense Net income Cowan Kitchen Counters, Inc. Comparative Income Statement For Years Ended December 31, 20-2 and 20-1 20-2 Cash Government notes $2,584,000 1,868,200 $715,800 315,200 24,200 176,800 $199,600 Cowan Kitchen Counters, Inc. Comparative Balance Sheet December 31, 20-2 and 20-1 20-2 $255,400 250,000 20-1 $2,163,000 1,616,800 $546,200 221,800 24,200 106,300 $193,900 20-1 $243,200 250,000

The comparative income statement and balance sheet of Cowan Kitchen Counters, Inc. are shown. Net Sales (all on account) Cost of goods sold Gross profit Operating expenses Other expense (interest) Income tax expense Net income Cowan Kitchen Counters, Inc. Comparative Income Statement For Years Ended December 31, 20-2 and 20-1 20-2 Cash Government notes $2,584,000 1,868,200 $715,800 315,200 24,200 176,800 $199,600 Cowan Kitchen Counters, Inc. Comparative Balance Sheet December 31, 20-2 and 20-1 20-2 $255,400 250,000 20-1 $2,163,000 1,616,800 $546,200 221,800 24,200 106,300 $193,900 20-1 $243,200 250,000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

Please do not give solution in image format thanku 

Analysis of ROA Components The comparative income statement and balance sheet of Cowan Kitchen Counters, Inc. are shown. Cowan Kitchen Counters, Inc. Comparative Income Statement For Years Ended December 31, 20-2 and 20-1 20-2 Net Sales (all on account) Cost of goods sold Gross profit Operating expenses Other expense (interest) Income tax expense Net income Cash Government notes $2,584,000 1,868,200 $715,800 315,200 24,200 176,800 $199,600 Cowan Kitchen Counters, Inc. Comparative Balance Sheet December 31, 20-2 and 20-1 20-2 $255,400 250,000 20-1 $2,163,000 1,616,800 $546,200 221,800 24,200 106,300 $193,900 20-1 $243,200 250,000
Transcribed Image Text:Analysis of ROA Components The comparative income statement and balance sheet of Cowan Kitchen Counters, Inc. are shown. Cowan Kitchen Counters, Inc. Comparative Income Statement For Years Ended December 31, 20-2 and 20-1 20-2 Net Sales (all on account) Cost of goods sold Gross profit Operating expenses Other expense (interest) Income tax expense Net income Cash Government notes $2,584,000 1,868,200 $715,800 315,200 24,200 176,800 $199,600 Cowan Kitchen Counters, Inc. Comparative Balance Sheet December 31, 20-2 and 20-1 20-2 $255,400 250,000 20-1 $2,163,000 1,616,800 $546,200 221,800 24,200 106,300 $193,900 20-1 $243,200 250,000
Accounts receivable (net) Merchandise inventory Supplies and prepayments Land Building (net) Office equipment (net) Total assets Current liabilities (accounts payable) Bonds payable Total liabilities Common stock ($10 par, 180,000 shares) Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 903,500 983,600 143,200 108,200 330,000 17,700 $2,991,600 $703,000 220,000 $923,000 $1,800,000 268,600 $2,068,600 $2,991,600 797,500 913,600 47,500 108,200 390,600 15,000 $2,765,600 $532,000 240,000 $772,000 $1,800,000 193,600 $1,993,600 $2,765,600 Compute ROA for 20-2 using its two basic components (round all calculations to two decimal places). X %
Transcribed Image Text:Accounts receivable (net) Merchandise inventory Supplies and prepayments Land Building (net) Office equipment (net) Total assets Current liabilities (accounts payable) Bonds payable Total liabilities Common stock ($10 par, 180,000 shares) Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 903,500 983,600 143,200 108,200 330,000 17,700 $2,991,600 $703,000 220,000 $923,000 $1,800,000 268,600 $2,068,600 $2,991,600 797,500 913,600 47,500 108,200 390,600 15,000 $2,765,600 $532,000 240,000 $772,000 $1,800,000 193,600 $1,993,600 $2,765,600 Compute ROA for 20-2 using its two basic components (round all calculations to two decimal places). X %
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Income Statement Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS