Rate of Change Analyses
Teicher Company presents the following condensed comparative
income statements for 2020, 2019,...
Rate of Change Analyses
Teicher Company presents the following condensed comparative
income statements for 2020, 2019, and 2018:
For Years Ended December 31,
2020
2019
2018
Sales (net)
$120,000
$100,000
$85,000
Cost of goods sold
(72,000)
(55,000)
(45,000)
Gross profit
$48,000
$45,000
$40,000
Operating expenses
(22,000)
(20,000)
(18,000)
Operating income
$26,000
$25,000
$22,000
Other items:
Dividend revenue
400
500
200
Interest expense
(1,200)
(1,000)
(500)
Income before income taxes
$25,200
$24,500
$21,700
Income tax expense
(8,200)
(8,000)
(6,000)
Net income...
Income statements for
Finch Company for 2018 and 2019 follow:
FINCH COMPANY
Income Statements
2019
2018...
Income statements for
Finch Company for 2018 and 2019 follow:
FINCH COMPANY
Income Statements
2019
2018
Sales
$
200,400
$
180,400
Cost of goods
sold
142,200
120,200
Selling
expenses
21,700
19,700
Administrative
expenses
13,000
15,000
Interest
expense
3,500
5,500
Total
expenses
$
180,400
$
160,400
Income before
taxes
20,000
20,000
Income taxes
expense
6,000
3,900
Net income
$
14,000
$
16,100
Required
Perform a horizontal
analysis, showing the percentage change in each income statement
component between 2018 and 2019.
Perform...
Balance Sheet
2016
2015
2014
Cash
50,000
45000
40,000
Accounts receivable
80,000
70000
60,000
Inventories
180,000...
Balance Sheet
2016
2015
2014
Cash
50,000
45000
40,000
Accounts receivable
80,000
70000
60,000
Inventories
180,000
145000
110,000
Plant & equipment
300,000
280000
260,000
Less accumulated depreciation
-40,000
-30000
-20,000
Total assets
570,000
510000
450,000
Accounts payable
100,000
125000
150,000
Accrued liabilities
70,000
60000
50,000
Mortgage payable
80,000
40000
60,000
Common stock
130,000
110000
90,000
Retained earnings
190,000
175000
160,000
Total liabilities and equity
570,000
510000
450,000
Income Statement
2014
2015
2016
Net Sales
680,000
600,000
640000
Cost of goods...
The following information is available for 2018 for XYZ
Products:
Revenue (300,000
units) &n
The following information is available for 2018 for XYZ
Products:
Revenue (300,000
units)
$2,400,000
Manufacturing
costs:
Materials
400,000
Variable overhead cash
costs
270,000
Fixed overhead cash
costs
150,000
Depreciation
500,000
Marketing and administrative
costs:
Marketing variable
costs
300,000
Marketing
depreciation
50,000
Administrative cash
costs
200,000
Administrative
depreciation
30,000
Total
costs
$1,900,000
Operating
profits
$ 500,000...
Question No: 2
The financial statements of Ahmed Company appear below:
Ahmed Company
Comparative Balance Sheet...
Question No: 2
The financial statements of Ahmed Company appear below:
Ahmed Company
Comparative Balance Sheet
December 31,
————————————————————————————————
Assets
2019
2018
Cash
$ 250,000 $ 400,000
Short-term
investments
150,000 600,000
Accounts receivable
(net)
500,000 300,000
Inventory 500,000
700,000
Property, plant and equipment
(net)
2,600,000 3,000,000
Total
assets
$4,000,000 $5,000,000
Liabilities and stockholders' equity
Accounts
payable
$ 200,000 $ 300,000
Short-term notes
payable
300,000 900,000
Bonds payable 900,000 1,600,000
Common stock 1,500,000 1,500,000
Retained
earnings ...
Given the following: Income Statement (End of Year, 2017)
Industry % of sales Net Sales 500,000...
Given the following: Income Statement (End of Year, 2017)
Industry % of sales Net Sales 500,000 100 Less: Inventory (B)
60,000 12 Gross Purchases 200,000 40 Less: discounts 20,000 4 Net
Purchases 180,000 36 Total Goods Available 240,000 48 Less:
inventory (E) 75,000 10 Total Cost of Goods Sold 165,000 38 Gross
Margin: 335,000 62 Less: Variable Expenses Sales Commissions
130,000 26 Deliveries 5,000 1 135,000 27 Contribution Margin
200,000 35 Less: Fixed Expenses Rent 50,000 10 Salaries 95,000 12...
sel, Inc. reported net sales revenue of $600,000 in 2018 and
$500,000 in 2019. The company’s...
sel, Inc. reported net sales revenue of $600,000 in 2018 and
$500,000 in 2019. The company’s ending net receivables were
$120,000 during 2017 and $130,000 during 2018. At December 31,
2019, the company had Accounts Receivable of $148,000 and an
unadjusted debit balance in its Allowance for Doubtful Accounts
account of $1,000. The company reported Bad Debt Expense of $6,000
during 2019.
Required:
Determine the net receivables at December 31, 2019.
Calculate the receivables turnover ratio for 2018 and
2019....
Assume that sales revenue are $450,000, sales discounts are
$10,000, net income is $35,000, and cost...
Assume that sales revenue are $450,000, sales discounts are
$10,000, net income is $35,000, and cost of goods sold is $320,000.
How much are gross profit and operating expenses, respectively?
$120,000 and $95,000
$120,000 and $85,000
$130,000 and $85,000
$130,000 and $95,000
Comparative income statements for South Drive Company for Year 2
and Year 1 are given below....
Comparative income statements for South Drive Company for Year 2
and Year 1 are given below. Return on sales for South Drive is
higher in Year 2 than in Year 1. What expense is causing this
higher profitability?
Year 2
Year 1
Sales
900,000
500,000
Cost of Goods Sold
(332,000)
(240,000)
Gross Profit on Sales
568,000
260,000
Wage Expense
(54,000)
(30,000)
Rent Expense
(90,000)
(50,000)
Operating Income
424,000
180,000
Interest Expense
(54,000)
(30,000)
Net Income
370,000
150,000
Group of answer...
Ortiz Co. reports the following information for 2019:
sales revenue $700,000, cost of goods sold $500,000,...
Ortiz Co. reports the following information for 2019:
sales revenue $700,000, cost of goods sold $500,000, operating
expenses $80,000, and an unrealized holding gain on
available-for-sale securities for 2019 of $60,000. It declared and
paid a cash dividend of $10,000.
Instructions: compute the comprehensive income for the
year ended 31\12\2019.