Exercise D3-25 The following is Ivanhoe Company's income statement for the past year Sales revenue Cost...
CRANE COMPANY Income Statement For the Year Ended December 31, 2017 Sales Sales Revenue 2,290,000 Less +: Sales Discounts 170,000 Net Sales 2,120,000 Cost of Goods Sold 1,038,800 Gross Profit 1,081,200 Operating Expenses 460,000 i Salaries and Wages Expense 320,000 i Depreciation Expense 120,000 i Utilities Expense Total Operating Expenses 900,000 Income From Operations 181,200 Other Revenues and Gains Interest Revenue 57,900 Other Expenses and Losses Interest Expense 67,000 83,500 i Loss on Disposal of Plant Assets 150,500 88,600 Income...
The following Income statement is provided for Vargas, Inc. Sales revenue (2,800 units * $20.30 per unit) Cost of goods sold (variable; 2,800 units * $10.30 per unit) Cost of goods sold (fixed) Gross margin Administrative salaries Depreciation Supplies (2,800 units * $2.30 per unit) Net income $ 56,840 (28,840) (4,300) 23,700 (6,300) (5,300) (6,440) $ 5,660 What is this company's magnitude of operating leverage? (Round your answer to 2 decimal places.) Multiple Choice 0.24 419 0.25
The following "GAAP-based" income statement is provided for Vargas, Inc. Sales revenue (3,100 units * $20.60 per unit) Cost of goods sold (variable; 3,100 units x $10.60 per unit) Cost of goods sold (fixed) Gross margin Administrative salaries Depreciation Supplies (3,100 units * $2.60 per unit) Net income $ 63,860 (32,860) (4,600) 26,400 (6,600) (5,600) (8,060) $ 6,140 Considering a "Contribution Margin" formatted income statement, what is this company's magnitude of operating leverage? (Round your answer to 2 decimal places.)...
Hull Company reported the following income statement information for the current year: Sales $ 416,000 Cost of goods sold: Beginning inventory $ 141,000 Cost of goods purchased 279,000 Cost of goods available for sale 420,000 Ending inventory 150,000 Cost of goods sold 270,000 Gross profit $ 146,000 The beginning inventory balance is correct. However, the ending inventory figure was overstated by $26,000. Given this information, the correct gross profit would be:
Hull Company reported the following income statement information for the current year: Sales $ 416,000 Cost of goods sold: Beginning inventory $ 141,000 Cost of goods purchased 279,000 Cost of goods available for sale 420,000 Ending inventory 150,000 Cost of goods sold 270,000 Gross profit $ 146,000 The beginning inventory balance is correct. However, the ending inventory figure was overstated by $26,000. Given this information, the correct gross profit would be:
Ivanhoe Sports Inc. manufactures basketballs for the Women's National Basketball Association (WNBA). For the first 6 months of 2020, the company reported the following operating results while operating at 80% of plant capacity and producing 120,000 units. Amount Sales $4,680,000 Cost of goods sold 3,582,000 Selling and administrative expenses 513,400 Net income $584,600 Fixed costs for the period were cost of goods sold $960,000, and selling and administrative expenses $271,000. In July, normally a slack manufacturing month, Ivanhoe Sports receives...
The following income statement applies to Kawai Company for the current year. Income Statement Sales revenue (200 units X $60) Variable cost (200 units * $36) Contribution margin Pixed cost Net income $12,000 (7,200) 4,800 (1.600) $ 3,200 Required a. Use the contribution margin approach to calculate the magnitude of operating leverage. b. Use the operating leverage measure computed in Requirement a to determine the amount of net income that Kawal Company will earn if it experiences a 10 percent...
PHAN AND NGUYEN LLP Income Statement Year Ending December 31, 2020 Sales (240,000 units) Cost of goods sold Gross profit Operating expenses Selling $280,000 Administrative 150,000 Net loss $1,200,000 800,000 400,000 430,000 $ (30,000) A cost behaviour analysis indicates that 75% of the cost of goods sold is variable, 42% of the selling expenses are variable, and 40% of the administrative expenses are variable. Required: (Round to nearest unit, dollar, and percentage, where necessary. Use the CVP income statement format...
The following income statement information is available: 2018 2017 Net Sales $ 840,000 $700,000 Cost of Goods Sold 400,000 325,000 Gross Profit 440,000 375,000 Total Operating Expenses 140,000 105,000 Net Income $300,000 270,000 Calculate the percentage increase in net sales from 2017 to 2018. cannot be calculated 16.7% 11.1% 20%
Degollado Corporation's most recent income statement appears below: Income Statement For the Year Ended December 31 Sales (all on account) $ 184,000 Cost of goods sold 76,000 Gross margin 108,000 Selling and administrative expenses 48,000 Net operating income 60,000 Interest expense 23,000 Net income before taxes 37,000 Income taxes (30%) 11,100 Net income $ 25,900 The beginning balance of total assets was $214,000 and the ending balance was $234,000. Required: Compute the return on total assets. (Round your "Percentage" answer...