Kim Perkins recently accepted a job in the production department at Tootsie Roll. Before she starts work, she decides to review the company’s annual report to better understand its operations.

Instructions Use the annual report provided in Appendix A to answer the following questions.

(a) What CPA firm performed the audit of Tootsie Roll’s financial statements?

(b) What was the amount of Tootsie Roll’s earnings per share in 2004?

(c) What are the company’s net sales in foreign countries?

(d) What did management suggest as the cause of the increase in the sales in 2004?

(e) What were net sales in 2000?

(f) How many shares of Class B common stock have been authorized?

(g) How much cash was spent on capital expenditures in 2004?

(h) Over what life does the company depreciate its buildings?

(i) What was the value of raw material inventories in 2003?

COMMUNICATION ACTIVITY