22Darius, Inc. has the following income statement (in millions):

DARIUS, INC.

Income Statement

For the Year Ended December 31, 2012

Net Sales $300

Cost of Goods Sold 120

Gross Profit 180

Operating Expenses 44

Net Income $136

Using vertical analysis, what percentage is assigned to Gross Profit?

	a.	30%
	b.	60%
	c.	100%
	d.	40%

30

ndicate where the event paid income taxes would appear, if at all, on the statement of cash flows.

	a.	Financing activities section
	b.	Operating activities section
	c.	Investing activities section
	d.	Does not represent a cash flow

29.

The following schedule is a display of what type of analysis?

Current assets		$200,000	25 %
Property, plant, and equipment		600,000	75 %
Total assets		$800,000	100 %

	a.	Differential analysis
	b.	Ratio analysis
	c.	Vertical analysis
	d.	Horizontal analysis

28

Sue Company reported the following on its income statement:

Income before income taxes $660,000

Income tax expense 150,000

Net income $510,000

An analysis of the income statement revealed that interest expense was $80,000. Sue Company's times interest earned was