Fill This Form To Receive Instant Help
Fill This Form To Receive Instant Help
Homework answers / question archive / A comparative income statement is given below for McKenzie Sales, Ltd
A comparative income statement is given below for McKenzie Sales, Ltd., of Toronto: Last Year $5,570,800 3,507,500 2,063,300 McKenzie Sales, Ltd. Comparative Income Statement This Year Sales $7,330,000 Cost of goods sold 4,750,000 Gross margin 2,580,000 Selling and administrative expenses: Selling expenses 1,373,000 Administrative expenses 706,500 Total expenses 2,079,500 Net operating income 500,500 Interest expense 102,000 Net income before taxes $ 398,500 1,078,000 613,500 1,691,500 371,800 92,000 $ 279,800 Members of the company's board of directors are surprised to see that net income increased by only $118,700 when sales increased by $1,759,200. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) This Year Last Year % % 0.0 % 0.0 % % Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Total selling and administrative expenses Net operating income Interest expense Net income before taxes % % 0.0 % 0.0 % % 0.0 % 0.0 % 0.0 % % 0.0 %
