Question:
USING COMPARATIVE INCOME STATEMENT DATA. The 1993, 1992, and 1991 income statements for The Walt Disney Company appear below.
THE WALT DISNEY COMPANY CONSOLIDATED STATEMENT OF INCOME
REQUIRED:
1. By how much did each of the revenues and expenses change from fiscal 1991 to 1992 and 1992 to 1993? 2. What were the primary causes of Disney's increase in net income in 1992 and the decrease in 1993?
Transcribed Image Text:
YEAR ENDED SEPTEMBER 30 REVENUES 1993 1992 1991 THEME PARKS AND RESORTS $3,440.7 $3,306.9 $2,794.3 FILMED ENTERTAINMENT 3,673,4 3,115.2 2.593.7 CONSUMER PRODUCTS 1,415.1 1,081.9 724.0 8,529.2 7,504.0 6.112.0 COSTS AND EXPENSES THEME PARKS AND RESORTS $2.693.8 2,662.9 2,247.7 FILMED ENTERTAINMENT 3,051.2 2,606.9 2,275.6 CONSUMER PRODUCTS 1,059.7 798.9 494.2 6,804.7 6,068.7 5,017.5 OPERATING INCOME THEME PARKS AND RESORTS FILMED ENTERTAINMENT CONSUMER PRODUCTS 746.9 644.0 546.6 622.2 508.3 318.1 355.4 283.0 229.8 1,724.5 1,435.3 1,094.5 CORPORATE ACTIVITIES GENERAL AND ADMINISTRATIVE EXPENSES 164.2 148.2 160.8 INTEREST EXPENSE 157.7 126.8 105.0 INVESTMENT AND INTEREST INCOME (186.1) (130.3) (119.4) 135.8 144.7 146.4 INCOME (LOSS) FROM INVESTMENT IN EURO DISNEY (514.7) 11.2 63.8 INCOME BEFORE INCOME TAXES AND CUMULATIVE EFFECT OF ACCOUNTING CHANGES INCOME TAXES INCOME BEFORE CUMULATIVE EFFECT OF ACCOUNTING CHANGES CUMULATIVE EFFECT OF ACCOUNTING CHANGES PRE-OPENING COSTS POSTRETIREMENT BENEFITS INCOME TAXES NET INCOME 1.074.0 1.301.8 1,011.9 402.7 485.1 375.3 671.3 816.7 636.6 (271.2) (130.3) 30.0 $ 299.8 $ 816.7 636.6