Purpose a vertical analysis of the income statement

Assignment Help Financial Accounting

Reference no: EM1312453

Prepare vertical analysis.

Following is the income statement for Commerce Corporation for the year ended December 31, 20X7:

Commerce Corporation Income Statement For the Year Ended December 31, 20X7
Net sales	$661,000
Expenses:
Cost of goods sold	268,500
Selling expenses	45,000
General expenses	49,300
Interest expense	35,000
Income tax expense	30,000
Total expenses	427,800
Net income	$233,200

a) Prepare a vertical analysis of the income statement showing appropriate percentages for each item listed above.

b) What additional information would you need to determine whether these percentages are good or bad?

Reference no: EM1312453

Questions Cloud

Developing percent frequency distribution : Develop percent frequency distribution and construct bar chart and pie chart.

Determine the location of the center of mass : Determine the location of the center of mass of the molecule as measured from the hydrogen atom (Chlorine is 35 times more massive than hydrogen.).

Calculation of gain and loss : The annual demand for coffee by the U.S consumers is Q = 250 - 10P. Compute the lost consumer surplus?

Explaining different concepts of the genetics : What is the function of the polymerase chain reaction (PCR) in genetic engineering? To cut DNA into many fragments.To carry DNA into a new cell.To make millions of copies of a specific segment of DNA.

Purpose a vertical analysis of the income statement : Purpose a vertical analysis of the income statement showing appropriate percentages for each item listed above. and what additional information would you need to determine whether these percentages are good or bad?

Show analysis of bogues corporation''s balance sheet : Presented below is a comparative balance sheet for Bogues Corporation for 20X7 and 20X6. Prepare a horizontal analysis of Bogues Corporation's balance sheet.

Calculation of profit maximizing price : A monopolist faces the demand curvep =11 - Q , where Q is measured in thousands of units. What is the monopolist profit maximizing price and quantity? What is the profit?

Questions related to capitalization costs of machinery : Jaye's Company paid $600 cash to replace a part on equipment sold under warranty. To recognize this payment, which of the following are correct?

Calculation of expected return on investment : Calculation of expected return on investment and what is your expected starting salary as well as the standard deviation of that starting salary

User Account

All Pages