Financial & Managerial Accounting
14th Edition
ISBN: 9781337119207
Author: Carl Warren, James M. Reeve, Jonathan Duchac
Publisher: Cengage Learning
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Textbook Question
Chapter 20, Problem 3ADM
Apple Inc.: Segment revenue analysis
Segment disclosure by Apple Inc. provides sales information for its major product lines for three recent years as follows (in millions):
- A. Which product had the greatest percentage of Year 3 sales? Which product had the least percentage of Year 3 sales? (Round to nearest whole percent.)
- B. Which product grew the most in sales, in percentage terms, using Year 1 as the base year? (Round to nearest whole percent.)
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Adams Company reported the following operating results for two consecutive years:
Required
Compute each income statement component for each of the two years as a percent of sales.
Note: Percentages may not add exactly due to rounding. Round your answers to 1 decimal place. (i.e., .234 should be entered as
23.4).
Sales
Cost of goods sold
Gross margin on sales
Operating expenses
Income before taxes
Income taxes
Net income
ADAMS COMPANY
Vertical Analysis of Income Statements
Year 4
Percentage of
Sales for Year 4
100.0
%
$
$
X Answer is not complete.
999,500
549,725
449,775
129,400
320,375
81,000
239,375
%
$
$
Year 3
1,081,500
598,400
483,100
152,000
331,100
80,400
250,700
Percentage of
Sales for Year 3
100.0 %
%
1. Prepare a comparative income statement for the two-year period, presenting an analysis of each item in relationship to sales for each of the years. Round to one decimal place. Enter all amounts as positive numbers.
Fielder Industries Inc.
Comparative Income Statement
For the Years Ended December 31, 20Y2 and 20Y1
20Y2 Amount
20Y2 Percent
20Y1 Amount
20Y1 Percent
Sales
$1,300,000
fill in the blank bcf5f3fbd02f054_1%
$1,180,000
fill in the blank bcf5f3fbd02f054_2%
Cost of goods sold
682,500
fill in the blank bcf5f3fbd02f054_3%
613,600
fill in the blank bcf5f3fbd02f054_4%
Gross profit
$617,500
fill in the blank bcf5f3fbd02f054_5%
$566,400
fill in the blank bcf5f3fbd02f054_6%
Selling expenses
$260,000
fill in the blank bcf5f3fbd02f054_7%
$188,800
fill in the blank bcf5f3fbd02f054_8%
Administrative expenses
169,000
fill in the blank bcf5f3fbd02f054_9%
177,000
fill in the blank bcf5f3fbd02f054_10%
Total operating expenses
$429,000
fill in the blank…
Assume the following sales data for a company:Current year$832,402 Preceding year608,082What is the percentage increase in sales from the preceding year to the current year?
a.136.89%
b.36.89%
c.73.05%
d.26.95%
The relationship of $242,729 to $104,267, expressed as a ratio, is
a.0.8
b.2.3
c.0.4
d.0.7
Chapter 20 Solutions
Financial & Managerial Accounting
Ch. 20 - What types of costs are customarily included in...Ch. 20 - Which type of manufacturing cost (direct...Ch. 20 - Which of the following costs would be included in...Ch. 20 - In the variable costing income statement, how are...Ch. 20 - Since all costs of operating a business are...Ch. 20 - Discuss how financial data prepared on the basis...Ch. 20 - Why might management analyze product...Ch. 20 - Explain why rewarding sales personnel on the basis...Ch. 20 - Discuss the two factors affecting both sales and...Ch. 20 - How is the quantity factor for an increase or a...
Ch. 20 - Explain why service companies use different...Ch. 20 - Variable costing Marley Company has the following...Ch. 20 - Variable costingproduction exceeds sales Fixed...Ch. 20 - Variable costing sales exceed production The...Ch. 20 - Analyzing income under absorption and variable...Ch. 20 - Contribution margin by segment The following...Ch. 20 - Contribution margin analysis The actual variable...Ch. 20 - Inventory valuation under absorption costing and...Ch. 20 - Income statements under absorption costing and...Ch. 20 - Income statements under absorption costing and...Ch. 20 - Cost of goods manufactured, using variable costing...Ch. 20 - Variable costing income statement On November 30,...Ch. 20 - Absorption costing income statement On March 31....Ch. 20 - Variable costing income statement The following...Ch. 20 - Estimated income statements, using absorption and...Ch. 20 - Variable and absorption costing Ansara Company had...Ch. 20 - Prob. 20.10EXCh. 20 - Prob. 20.11EXCh. 20 - Product profitability analysis Power Train Sports...Ch. 20 - Territory and product profitability analysis Coast...Ch. 20 - Sales territory and salesperson profitability...Ch. 20 - Segment profitability analysis The marketing...Ch. 20 - Prob. 20.16EXCh. 20 - Contribution margin analysis sales Select Audio...Ch. 20 - Prob. 20.18EXCh. 20 - Contribution margin analysis variable costs Based...Ch. 20 - Variable costing income statement for a service...Ch. 20 - Contribution margin reporting and analysis for a...Ch. 20 - Variable costing income statement and contribution...Ch. 20 - Absorption and variable costing income statements...Ch. 20 - Income statements under absorption costing and...Ch. 20 - Absorption and variable costing income statements...Ch. 20 - Salespersons' report and analysis Walthman...Ch. 20 - Segment variable costing income statement and...Ch. 20 - Contribution margin analysis Farr Industries Inc....Ch. 20 - Prob. 20.1BPRCh. 20 - Income statements under absorption costing and...Ch. 20 - Absorption and variable costing income statements...Ch. 20 - Salespersons' report and analysis Pachec Inc....Ch. 20 - Variable costing income statement and effect on...Ch. 20 - Contribution margin analysis Mathews Company...Ch. 20 - Prob. 1ADMCh. 20 - Prob. 2ADMCh. 20 - Apple Inc.: Segment revenue analysis Segment...Ch. 20 - LVMH: Group segment sales and EBITDA analysis LVMH...Ch. 20 - Prob. 20.1TIFCh. 20 - Communication Bon Jager Inc. manufactures and...
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