The income statements for Federer Sports Apparel for 2022 and 2021 are presented below. Required: Prepare a vertical analysis of the data for 2022 and 2021. (Round your percentage answers to 1 decimal place.) FEDERER SPORTS APPAREL Income Statement For the Years Ended December 31 2022 2021 Amount % Amount % Net sales Cost of goods sold $ 18,800,000 $ 15,500,000 13,200,000 7,000,000 Gross profit 5,600,000 8,500,000 Operating expenses 1,600,000 1,200,000 Depreciation expense 1,000,000 1,000,000 Inventory write-down 200,000 0 Loss (tigation) 1,500,000 300,000 Income before tax 1,300,000 6,000,000 Income tax expense 450,000 2,000,000 Net income $ 850,000 $ 4,000,000
The income statements for Federer Sports Apparel for 2022 and 2021 are presented below. Required: Prepare a vertical analysis of the data for 2022 and 2021. (Round your percentage answers to 1 decimal place.) FEDERER SPORTS APPAREL Income Statement For the Years Ended December 31 2022 2021 Amount % Amount % Net sales Cost of goods sold $ 18,800,000 $ 15,500,000 13,200,000 7,000,000 Gross profit 5,600,000 8,500,000 Operating expenses 1,600,000 1,200,000 Depreciation expense 1,000,000 1,000,000 Inventory write-down 200,000 0 Loss (tigation) 1,500,000 300,000 Income before tax 1,300,000 6,000,000 Income tax expense 450,000 2,000,000 Net income $ 850,000 $ 4,000,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:The income statements for Federer Sports Apparel for 2022 and 2021 are presented below.
Required:
Prepare a vertical analysis of the data for 2022 and 2021. (Round your percentage answers to 1 decimal place.)
FEDERER SPORTS APPAREL
Income Statement
For the Years Ended December 31
2022
2021
Amount
%
Amount
%
Net sales
Cost of goods sold
$ 18,800,000
$ 15,500,000
13,200,000
7,000,000
Gross profit
5,600,000
8,500,000
Operating expenses
1,600,000
1,200,000
Depreciation expense
1,000,000
1,000,000
Inventory write-down
200,000
0
Loss (tigation)
1,500,000
300,000
Income before tax
1,300,000
6,000,000
Income tax expense
450,000
2,000,000
Net income
$
850,000
$ 4,000,000
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