ch 17-3 q1

Vertical Analysis of Income Statement

The following comparative income statement (in thousands of dollars) for the two recent fiscal years was adapted from the annual report of Calvin Motorsports, Inc., owner and operator of several major motor speedways, such as the Atlanta, Texas, and Las Vegas Motor Speedways

a. Prepare a comparative income statement for these two years in vertical form, stating each item as a percent of revenues. Round to one decimal place. Enter all amounts as positive numbers.

Current Year Previous Yea Revenues: Admissions Event-related revenue NASCAR broadcasting revenue Other operating revenue $190,710 203,580 127,530 63,180 $585,000 $191,264 185,148 101,192 78,396 $556,000 Total revenue Expenses and other: Direct expense of events NASCAR purse and sanction fees Other direct expenses General and administrative $97,695 110,565 139,230 81,315 $428,805 $156,195 $97,300 99,524 121,208 75,616 $393,648 $162,352 Total expenses and other Income from continuing operations