Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Chipotle Mexican Grill began with a single location in 1993 and now operates more than 1,700 restaurants. Adapted versions of the companys income statements (in

Chipotle Mexican Grill began with a single location in 1993 and now operates more than 1,700 restaurants. Adapted versions of the companys income statements (in $000s) are as follows:

2015 2014
Revenue $4,501,223 $4,108,269
Restaurant operating costs
Food, beverage, and packaging 1,503,835 1,420,994
Labor 1,045,726 904,407
Occupancy 262,412 230,868
Other operating costs 514,963 434,244
General and administrative expenses 250,214 273,897
Depreciation and amortization 130,368 110,474
Pre-opening costs 16,922 15,609
Loss on disposal of assets 13,194 6,976
Total operating expenses 3,737,634 3,397,469
Income from operations 763,589 710,800
Interest and other income (expense), net 6,278 3,503
Income before income taxes 769,867 714,303
Provision for income taxes 294,265 268,929
Net income $475,602 $445,374

Prepare a common-size income statement for each year. (Round answers to 1 decimal place, e.g. 50.1%.)

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

Recommended Textbook for

Accounting For Managers Interpreting Accounting Information For Decision Making

Authors: Paul M. Collier

2nd Edition

0470016094, 9780470016091

More Books

Students also viewed these Accounting questions

Question

Why is return on equity such a valuable measure to investors?

Answered: 1 week ago

Question

What were the reasons the collective agreement was achieved?

Answered: 1 week ago

Question

What does Copp say is the most important asset of any airline?

Answered: 1 week ago