Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please answer everything i dont have more questions remaining. Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent

image text in transcribed
image text in transcribed
please answer everything i dont have more questions remaining.
Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows: Current Year Previous Year Sales $494,000 261,820 Cost of goods sold Selling expenses $574,000 338,660 91,840 103,320 17,220 93,860 Administrative expenses 83,980 Income tax expense 19,760 a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. If required, round percentages to one decimal place. Enter all amounts as positive numbers. Innovation Quarter Inc. Comparative Income Statement For the Years Ended December 31 Current year Amount Current year Percent Previous year Amount Previous year Percent $574,000 $494,000 Sales Cost of goods sold 338,660 261,820 Selling expenses 91,840 93,860 Administrative expenses 103,320 83,980 Income tax expense 17 Vertical Analysis of Balance Sheet Balance sheet data for Alvarez Company on December 31, the end of two recent fiscal years, follows: Current Year Previous Year Current assets $150,260 $264,190 537,490 109,320 Property, plant, and equipment Intangible assets 484,930 47,810 Current liabilities Long-term liabilities 173,090 391,730 81,990 264,190 102,450 293,690 75,130 211,730 Common stock Retained earnings Prepare a comparative balance sheet for both years, stating each asset as a percent of total assets and each liability and stockholders' equity item as a percent of the total liabilities and stockholders' equity. If required, round percentages to one decimal place. Alvaraz Company Comparative Balance Sheet For the Years Ended December 31 Current Current Previous Previous year year year year Amount Percent Amount Percent Current assets $264,190 $150,260 Property, plant, and equipment 537.490 484,930 Intangible assets 109,320 47,810 Total assets $911,000 $683,000 Current liabilities $102,450 293,690 Long-term liabilities $173,090 391,730 81,990 264,190 Common stock 75,130 Retained earnings 211.730 Total liabilities and stockholders' equity $911,000 $683,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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