Analysis of bloom statement of comprehensive income

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Question - Selected data from the financial statements of Bloom's Garden Centre is provided below.

2014 2013

Accounts receivable $70 000 $46 000

Inventory 10 000 17 000

Total assets 470 000 360 000

Net sales 380 000 270 000

Cost of goods sold 170 000 220 000

Which of the following would result from a vertical analysis of Bloom's statement of comprehensive income?

Gross profit is 55.3% of net sales for 2014

Net sales are 84.4% of total assets for 2014

Cost of goods sold decreased $50 000 or 22.7% during 2014

The accounts receivable turnover ratio is 7.76 in 2014

Reference no: EM131663503

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