Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

can you please solve this Comparative income statement data for Blossom Inc. and Ayayai Ltd, two competitors are shown below for the year ended December

image text in transcribed

image text in transcribed

can you please solve this

Comparative income statement data for Blossom Inc. and Ayayai Ltd, two competitors are shown below for the year ended December 31, 2021. Net sales Cost of goods sold Gross profit Operating expenses Profit from operations Interest expense Profit before income tax Income tax expense Profit Blossom $1,880,000 1.047,160 832,840 507,600 325.240 6,110 319,130 95.739 $223,391 Ayayai $543,000 337,746 205.254 89,052 116,202 1,252 114,950 28,738 $86,212 Additional information: Average total assets Average total shareholders' equity $970,000 777.000 $326,563 238.808 (a) Using vertical analysis, calculate the percentage of the base amount of the income statement for each company. (Round answers to 1 decimal place, c.g. 12.5%) BLOSSOM AND AYAYAI COMPANIES Income Statements Month Ended December 31, 2021 Blossom Percent Ayayai Percent Net sales %6 Cost of goods sold % 96 Gross profit % % 56 %6 5 % Operating expenses Profit from operations Interest expense Profit before income tax 96 9 24 Income tax expense 96 %6 Profit 196 33

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions