Bare Manufacturing Unimart $ 271,000 $ 542,000 Beginning inventory Merchandise Finished goods Cost of merchandise purchased Cost of goods manufactured Ending inventory Merchandise Finished goods 440,000 860,000 171,000 165,000 Compute cost of goods sold for each of these two companies. Complete this question by entering your answers in the tabs below. Merch Business Mfg Business Compute cost of goods sold for the company in Merchandising Business. UNIMART Computation of Cost of Goods Sold Cost of goods sold Goods available for sale Cost of goods sold $ 0 Merch Business Mfg Business > Merch Business Mfg Business Compute cost of goods sold for the company in Manufacturing Business. BARE MANUFACTURING Computation of Cost of Goods Sold Cost of goods sold Goods available for sale Cost of goods sold $ 0 Common-size and trend percents for Roxi Company's sales, cost of goods sold, and expenses follow. Common-Size Percents Current 2 Years 1 Year Ago Year Ago 100.0% 100.0% 100.0% 63.2 61.0 56.3 14.3 13.8 14.1 Trend Percents Current 2 Years 1 Year Ago Year Ago 104.6% 103.4% 100.0% 117.4 112.0 100.0 106.2 191.2 100.0 Sales Cost of goods sold Operating expenses Determine the net income for the following years. Did the net income increase, decrease, or remain unchanged in this three-year period? Complete this question by entering your answers in the tabs below. Change in Net Income Net Income Did the net income increase, decrease, or remain unchanged in this three-year period? Did the net income increase, decrease, or remain unchanged in this three-year period? Change in Net Income Net Income Determine the net income for the following years. Assuming sales were $100,000 2 yrs ago, what is net income in each year? (Enter all amounts as positive values.) Current Year 1 Year Ago Sales Cost of Goods Sold Operating Expenses 2 Years Ago $ 100,000 56,300 14,100 $ 29,600 Net Income Required information [The following information applies to the questions displayed below.) Simon Company's year-end balance sheets follow. Current Year 1 Year Ago 2 Years Ago At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity $ 29,671 86,873 109,226 10,043 277,348 $ 513,161 $ 35,036 60,075 79,385 9,569 258, 315 $ 442,380 $ 36,135 48,180 51,312 4,095 225, 278 $ 365,000 $ 129,055 98,404 162,500 123,202 $ 513,161 $ 75,510 103,782 162,500 100,588 $ 442,380 $ 48,662 79, 858 162,500 73,980 $ 365,000 For both the current year and one year ago, compute the following ratios: 1. Express the balance sheets in common-size percents. 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? Reg 1 Req 2 and 3 Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage answers to 1 decimal place.) 2 Years Ago % SIMON COMPANY Common-Size Comparative Balance Sheets December 31 Current Year 1 Year Ago Assets Cash % % Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets % % Liabilities and Equity Accounts payable % % Long-term notes payable Common stock, $10 par Retained earnings Total liabilities and equity % % % % % Reg 1 Req 2 and 3 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? Show less A 2. Change in accounts receivable 3. Change in merchandise inventory
