Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Assignment Two
1. The management of XYZ Company provides you with comparative balance sheets of the years ended December 31, 2012 and 2011. Management asks you to prepare a horizontal analysis on the information.
XYZ CORPORATION Comparative Income Statements For the Years Ended December 31, 2012 and 2011
Increase (Decrease)
2012
2011
Amount
%
Net sales
$ 520,000
$ 480,000
$ 40,000
8.3
Cost of goods sold
360,000
315,000
45,000
14.3
Gross margin
160,000
165,000
(5,000)
(3.0)
Operating expenses
128,600
126,000
2,600
2.1
Net operating income
31,400
39,000
(7,600)
(19.5)
Interest expense
6,400
7,000
(600)
(8.6)
Net income before taxes
25,000
32,000
(7,000)
(21.9)
Less income taxes (30%)
7,500
9,600
(2,100)
Net income
$ 17,500
$ 22,400
$ (4,900)
As indicated in table above sales increased by 8.3% while net income decreased by 21.9%. You identified that there were increases in both cost of goods sold (14.3%) and operating expenses (2.1%). These increased costs more than offset the increase in sales, yielding an overall decrease in net income. You already identified the Couse of the problem. Therefore, what are the possible actions should be taken to eliminate the reduction of the net income?
2. Assume you are a manager of XY Company, while you conduct a vertical analysis it is identified that 85% of the company expenses are incurred for salary. This intern highly affected the profitability of the organization. As a manager what are the possible remedial actions that you suppose to take in order to mitigate this drawbacks?
johnson complex fabrications is a metal parts manufacturing company. it has developed a new process for producing
Parent Corporation paid $90,000 to acquire all the common shares of Subsidiary Inc. on December 31, 2018. Prepare consolidated balance sheet at December
Which of the following System applies when standardized goodsare produced under the series of inter-connected operations?
Analyze how consolidations and business combination promulgations affect off-balance sheet manipulations. Include research on the development of consolidations and business combination promulgations.
a popular product of loring glassworks is a hand-decorated vase. the companys standard cost system calls for .75 hours
On January 1, 2020, Junibond issued 5-year 10%, P10,000,000 for P10,246,744. What is the carrying value of the bonds as of December
What IRS form does a partner in a partnership receive with his share of income? What is the different between an LLC and a S Corporation
Profit margins and turnover ratios vary from one industry to another. What differences would you expect to find between the turnover ratios, profit margins, and DuPont equations for a grocery chain and a steel company?
Johnson Company uses the allowance method to account for uncollectible accounts receivable. Determine the amount of accounts receivable writted off during 2011
The company can manufacture two juicers per machine hour and three makers per machine hour. What is the construction margin ration for juicers
An industry consists of many small plants located throughout the United States. An executive wants to survey the opinions of employees on the industry vacation policy. What would you suggest she sample?
Their adjusted gross income for 2018 is $105,300. What is Russ and Linda's total child and other dependent credit for 2018
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd