From the following information, interpret the concern, using Trend Ratios. Particulars Sales (Net) Less: Cost of goods sold Gross Profit Less: Operating expenses Net Operating Profit Less: Taxes Profit after tax 2018 100 60 40 10 30 15 15 2019 90 60 30 10 20 10 10 Amount (Rs. In Lakhs) 2021 150 80 70 20 50 25 25 2020 120 70 50 15 35 17.5 17.5

From the following information, interpret the concern, using Trend Ratios. Particulars Sales (Net) Less: Cost of goods sold Gross Profit Less: Operating expenses Net Operating Profit Less: Taxes Profit after tax 2018 100 60 40 10 30 15 15 2019 90 60 30 10 20 10 10 Amount (Rs. In Lakhs) 2021 150 80 70 20 50 25 25 2020 120 70 50 15 35 17.5 17.5

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter12: Fainancial Statement Analysis

Section: Chapter Questions

Problem 87PSB

See similar textbooks

Similar questions

explain your solution Operating margin Market Ratio Operating income Current Ratio = Ravenue 6957873 73686228 = 0.094 Grooss profit cost of goods solds = 0.561 26505347 47180881 Current Assets Current liabilities 72595989 53459728 = 135795657
Remember: Gross profit = SP- CP Activity 1.2 enti Complete the following table: Table 1.2: Finding the cost price, the gross profit or the selling price No Cast price Gross prafit Selling price 1.2.1 R5 600 R8 700 1.2.2 R3 400 30% 1.2.3 R6 800 R12 700 1.2.4 R17 500 R35 000 The owner of an enterprise has to calculate both the gross and the net profit. A business has certain operating expenses thai must be deducied from the gross profit to get the net profit. Examples of operating expenses are: • Salaries Wages • Rent paid/rent expense • Advertisements • Stationery. The cost of advertising the business is one example of an operating expense. Gross profit minaş operating expenses equals net profit."
The price of a product is expressed as ?, PHP = 10 – 28? where ? is the demand. Which of the following correctlyexpresses the total revenue? 10 − 28?2 28? = 10 10? − 28? 10? − 28?2
Analyze the influence of factors on the level of return on sales (ROS). Choose the proper method of factor analysis. Year 200A Year 200B Sales, $'000 56000 58421 Cost of goods sold, $'000 48000 50024
compute for the following items: d. Contribution margin ratio e. Breakeven point in pesos f. Breakeven point in unit sales
Question 3: CRS Company’s financial information is given in the table below. Year Sales (OMR) Fixed Costs Variable Costs 2019 405000 90000 225000 2020 450000 120000 240000 Calculate: P/V ratio, E.P. Sales required to earn a profit of OMR 40000. Margin of safety at a profit of OMR 50000 Profit when sales are OMR. 200000.
The gross profit margin indicates how profitable sales have been. Q.1 Calculate the gross profit margin for Pearson & Litt for 2020.Q.2 Explain the results of the gross profit margin calculation.
Management has at its disposal the following information: Revenue function: R =890Q ‒5.5Q2 The profit-maximizing price: P=494 OMR. Then the Profit-maximizing quantity is (............) Units. (write only the number) Answer:
Which of the following ratios indicates the percentage of each sales dollar that is available to cover fixed costs and to provide a profit? a. costs and expenses ratio b. contribution margin ratio c. margin of safety ratio d. profit ratio
Using the data below compute of the following: Contribution margin per unit in 3. 2018, 4. 2019 5. 2020 BEP in sales units in 6. 2018 7. 2019 8. 2020 BEP in peso sales in 9. 2018 10. 2019 11. 2020 What is the required sales in unit for the desired Net profit 12. 2018 13. 2019 14. 2020 2018 2019 2020 Sales per unit Desired profit Fixed costs. P7.50 P9.00 P10.00 P15,000 P28,000 P30,000 360,000 375,000 420,000 Variable cost Cost per unit: Variable cost 2.50 4.00 4.00
a. Present a cost-profit-volume analysis that shows the effect of adding the $8,500 annual premium to the company's fixed costs by showing current and revised CVP Income Statements. Include a column to the right of each income statement where each line item is expressed as a percentage of sales (called a common size income statement). b. Visualize the changes to net income in a chart. c. Advise the company using your quantitative support and qualitative. reasoning as to whether the company should purchase the insurance. A-Float Pools Company Income Statement (Pools Maintenance Div.) For the Year Ended December 31, 2022 In Sales (2,000 clients) Cost of Services Gross profit Operating expenses Selling Administrative Net Income $165,000 $225,000 $1,100,000 627,000 $473,000 $390,000 $83.000
Please answer the blank areas including total expenses, income from operations, what is the expected margin of safety in dollars and as a percentage of sales (if required , round the percent to one decimal place) and determine the operating leverage . Thx ( please provide explanations).