please round to one decimal point (example: 45.6%)

146 CHAPTER 3 Income Statement and Statement of Stockholders' Equity Moon Company Income Statements for the Years Ended December 31, 2016, 2015 and 2014 Net sales Cost of goods sold Gross profit Operating expenses Operating profit Income taxes Net income 2016 2015 2014 $220,000 $196,000 $150,000 169,000 147.000 108.000 $ 51,000 $ 49,000 $ 42.000 26,000 25,000 $ 25,000 $ 24,000 $22.000 7,800 7,500 7.000 $ 17,200 $16.500 $ 15.000 20,000 3.12. Prepare a multiple-step income statement for Jackrabbit Inc. from the following single step statement Net sales Gain on sale of equipment Interest income $1,840.000 15.000 13,000 1.868.000 Costs and expenses Cost of goods sold Selling expenses General and administrative expenses Depreciation Equity losses Interest expense Income tax expense Net income 1,072,000 270,000 155,000 24,000 9,000 16,000 926.000 226,000 3.13. Income statements for Yarrick Company for the years ending December 31, 2016 2015 and 2014 are shown below. Prepare a common size income statement and analyze ** profitability of the company. 2014 $14 Yarrick Company Income Statements for the Years Ending December 31, 2016, 2015, and 2014 (in millions) 2016 2015 Net sales 5237 $155 Cost of goods sold 138 84 $ 99 $71 Sales, general, and administrative expenses 42 31 Research and development 38 Operating profit Income tax expense (benefit) Net profit $ Gross profit 15 31 (11) 20 1 LA Theatres Inc. has two distinct revenue sources, ticket and The low CHAPTER 3 Erecome Statement and Statement of Steelers Equity 147 ing information from LA Theatres Inc, income statements for the past three years balable (in millions) 2016 2015 2014 Ticket revenue $1.731 $1,502 $1.120 Concessions revenue 792 687 411 Total revenue $23 $1551 Cost of goods sold-tickets $951 $ 854 $50 Cost of goods sold-concessions 70 69 28 Total cost of goods sold 12 59 5522 Gross profit $150 1740 599 TERE SKBRK (a) Calculate gross profit margins for tickets and concessions for all three years Calculate an overall gross profit margin for LA Theatres Inc. for all three years (b) Analyze the changes in gross profit margin for all three years 3.15. Writing Skills Problem Income statements are presented for the Elf Corporation for the year ending Deo 2016, 2015, and 2014 Elf Corporation Income Statements for the Years Ending December 31, 2016, 2015 and 2014 (in millions) 2016 2015 2014 Sales 5700 SASO Suo Cost of goods sold 350 325 Gross profit 5 Operating expenses Administrative 100 100 Advertising and marketing Operating profit Interest expense Earnings before tax 51 SO Tax expense (50% Net Income $65 5115 Required: Write a one paragraph analysis of Corporation's profit performance for the period. To the Student: The focus of this exercises on analyzing financialdan rather than simply describing the numbers and trends. Analysis involves breaking the information into puts for study, relating the pieces, making comparisons drawing conclusions de vacang cause and effect. Locate the income statement of a company in each of the following industries phaena ceutical, technology, retailer-groceries and tomme une chapet Operating profit margin, and net profit margs koncerty explaining the differences you find the proces akulined and why w think the profit margins differ. Look up the FAS3 home page on the Internet at the following it www.teborg Find the list of technical projects are currently and cheese and the projects that will affect the income went Deco the prese change and how the income statement may be affected 116 Research Problem 17. Intemet Problem Complete the following using the information from the Study Questions and Problems at the end of Chapter 3, on pages 145 - 147, as indicated below: Question 3.11 - Using the information provided in the problem on page 145, calculate/answer the following: a. Sales growth percentage from 2014 to 2015. b. Sales growth percentage from 2015 to 2016. c. Cost of goods sold percentage for 2014. d. Cost of goods sold percentage for 2015 e. Cost of goods sold percentage for 2016. f. Gross profit margin percentage for 2014 8. Gross profit margin percentage for 2015. h. Gross profit marginpercentage for 2016. i. Operating profit margin percentage for 2014. 1. Operating profit margin percentage for 2015. k. Operating profit margin percentage for 2016, 1. Average tax rate percentage for 2014. m. Average tax rate percentage for 2015. n. Average tax rate percentage for 2016 o. Net profit margin percentage for 2014 p. Net profit margin percentage for 2015 q. Net profit margin percentage for 2016. Question 3.12 - Prepare a multiple-step income statement for JackRabbit, Inc. from the single-step statement provided on Page 146 and answer the following questions using the multiple-step statement. a. The gross profit b. Operating profit c. Other income (expense) total d. Pre-tax income. mestament for Question 3.13 - Prepare common-size income statements for December 31, 2016, 2015, and 2014 using the income statements for Yarrick Company on Page 146 of your text and answer the following questions: a. Cost of goods sold percentage for 2014. b. Cost of goods sold percentage for 2015. c. Cost of goods sold percentage for 2016. d. Gross profit percentage for 2014. e. Gross profit percentage for 2015. f. Gross profit percentage for 2016. g. Selling, general and administrative expenses percentage for 2014. h. Selling, general and administrative expenses percentage for 2015. i. Selling, general and administrative expenses percentage for 2016. j. Research and development percentage for 2014 k. Research and development percentage for 2015. 1. Research and development percentage for 2016, m. Operating profit percentage for 2014 n. Operating profit percentage for 2015 o. Operating profit percentage for 2016. p. Income tax expense (benefit) percentage for 2014 q. Income tax expense (benefit) percentage for 2015. r. Income tax expense (benefit) percentage for 2016. s. Net profit percentage for 2014 t. Net profit percentage for 2015. u. Net profit percentage for 2016. V - X. Answer the multiple choice questions using the information from the common-size income statement information, Question 3.14 - Calculate the gross profit margins for tickets and concessions for all three years (2014, 2015, 2016). Calculate an overall gross profit margin for LA Theatres for all three years using the information provided on page 147 and answer the following questions: a. Gross profit margin for tickets for 2014 b. Gross profit margin for tickets for 2015. c. Gross profit margin for tickets for 2016. d. Gross profit margin for concessions for 2014. e. Gross profit margin for concessions for 2015. f. Gross profit margin for concessions for 2016. 8. Total gross profit margin for 2014 h. Total gross profit margin for 2015 i. Total gross profit margin for 2016