Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Procter & Gamble Company reports the following table in its 10-K report relating to the change in sales from 2017 to 2018. Net Sales Change

Procter & Gamble Company reports the following table in its 10-K report relating to the change in sales from 2017 to 2018.Net Sales Growth 996 Net Sales Change Drivers 2018 vs. 2017 Foreign Volume Exchange Price Mix Beauty 296 296 5% Grooming 396 

Net Sales Change Drivers 2018 vs. 2017 Foreign Beauty Grooming Health care Fabric & home care Baby, feminine & family care Total company Volume Exchange Price Mix 2% 5% (1)% 3% 396 (1)% 196 296 396 (3) % 3% (1) 9 196 (1)96 196 (1)96 296 (1)96 196 - -- Net Sales Growth 9% (1)96 5% 3% (1)96 3% a. Did total company net sales increase or decrease during the year? By what percentage did net sales increase (or decrease)? Do not use a negative sign with your answer to indicate a decrease. % b. What was the effect of foreign exchange rates on sales during the year? Foreign exchange rates caused sales to by %. From this result, what can we infer about the relative strength of the $US during the period? During the year, Othe U.S. dollar strengthened vis--vis the currencies in which P&G does business. Othe U.S. dollar weakened vis--vis the currencies in which P&G does business. c. The Grooming and the Baby, Feminine & Family Care segment sales both decreased by 1%. From this result, can we conclude that the dollar decrease in sales was the same for both segments? OYes, since both segments' sales decreased by the same percentage, the dollar amounts in sales were the same. ONo, the decrease is relative to each segment's sales. Both segments could have different sales levels but the same percentage change.

Step by Step Solution

3.56 Rating (170 Votes )

There are 3 Steps involved in it

Step: 1

a Total company Net Sales Increases During the year The main reason ... 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

Financial Accounting

Authors: Walter Harrison, Charles Horngren, William Thomas, Wendy Tietz

11th edition

978-0134065830, 134065832, 134127625, 978-0134127620

More Books

Students also viewed these Accounting questions