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Ook A condensed income statement for Kelly.com and a partially completed vertical analysis are presented below. Required: 1. Complete the vertical analysis by computing
Ook A condensed income statement for Kelly.com and a partially completed vertical analysis are presented below. Required: 1. Complete the vertical analysis by computing each missing line item as a percentage of sales revenues. 2. Does Kelly's Cost of Goods sold for the current year, as a percentage of revenues, represent better or worse performance as compared to that for the previous year? 3. Has Kelly's net profit margin increased, or decreased, over the two years? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Complete the vertical analysis by computing each missing line item as a percentage of sales revenues. (Round your answers to the nearest whole percent.) KELLY.COM Income Statement (summarized) (in millions of U.S. dollars) Current Year Previous Year Sales Revenues Cost of Goods Sold $ 2,006 100 % $ 2,380 100 1,567 76 % 1,791 Selling, General, and Administrative Expenses 403 % 416 17 Other Operating Expenses Interest Expense Income before Income Tax Expense Income Tax Expense 49 2 % 12 1 18 % 19 1 29 1% 142 0% 27 1% Net Income $ 24 % $ 115
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