(a) As the assistant accounting manager for Jefferson Airplane Parts, Inc., construct an income statement with vertical analysis for the first quarter of 2019 from the following information: gross sales, $240,000; sales discounts, $44,500; begins inventory, Jan. 1, $86,500; ending Inventory, March 31, $103.100; net purchases, $76,800; total operating expenses, $108,000; and income tax, $14,650. (Round percentages to one decimal place.) Jefferson Airplane Parts, Inc. Income Statement January 1 to March 31, 2019 Revenue Gross Sales Less: Sales Discounts Net Sales Cost of Goods Sold Merchandise Inventory, Jan. 1 Net Purchases Goods Available for Sale Less: Merchandise Inventory, Mar. 31 Cost of Goods Sold Gross Margin Operating Expenses Income before Taxes Income Tax Net Income
(a) As the assistant accounting manager for Jefferson Airplane Parts, Inc., construct an income statement with vertical analysis for the first quarter of 2019 from the following information: gross sales, $240,000; sales discounts, $44,500; begins inventory, Jan. 1, $86,500; ending Inventory, March 31, $103.100; net purchases, $76,800; total operating expenses, $108,000; and income tax, $14,650. (Round percentages to one decimal place.) Jefferson Airplane Parts, Inc. Income Statement January 1 to March 31, 2019 Revenue Gross Sales Less: Sales Discounts Net Sales Cost of Goods Sold Merchandise Inventory, Jan. 1 Net Purchases Goods Available for Sale Less: Merchandise Inventory, Mar. 31 Cost of Goods Sold Gross Margin Operating Expenses Income before Taxes Income Tax Net Income
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 51E: Juroe Company provided the following income statement for last year: Juroes balance sheet as of...
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Another way to look at the concept of inventory turnover is by measuring sales per square foot. Taking the average inventory at retail and dividing it by the number of square feet devoted to a particular product will give you average sales per square foot. When you multiply this figure by the inventory turnover rate, you get the annual sales per square foot.
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