PROTECTED VIEW Be care-les from the Internet can contain viruses. Unless you need to edit is safer to stay in Protected View Enable Editing AI f Statements of Net Income and comprehensive Income M B D E F G Statements of Net Income and Comprehensive Income 2 Vertical Analyses, Profitability Analyses 3 The Golden Fence Company and Stone Wall Corporation are competitors in manufacturing walls and fences. Their income statements have been provided on the ENTERANSWERS tab. The other information follows: 5 Golden Fence Stone Wall 6 Company Corporation 7 Average Total Assets $ 1,258,287 $ 102,211 B Average Stockholders' Equity $ 654,309 $ 74,614 9 10 Use the blue shaded areas on the ENTERANSWERS tab for inputs. Always use cell references and formulas where appropriate to receive full credit. If you copy/paste from the Instructions tab you 11 will be marked wrong. 12 13 Requirements 14 1 Prepare common-size income statements 15 2 Compute profit margin, return on assets, and return on stockholders' equity. 16 Use cell references from prior calculations, if applicable. 18 19 Saving & Submitting Solution 20 1 Save file to desktop. 21 a Create folder on desktop, and label COMPLETED EXCEL PROJECTS 2 Upload and submit your file to be graded. Navigate back to the activity window-screen where you downloaded the initial spreadsheet 24 b. Click Choose button under step 3; locate the file you just saved and dick Open 25 Click Upload button under step 3 Click Submit button under step 4 27 RE 79 Viewing Results 1 Click on Results tab in My Accountinglab 2. Click on the Asianment vou were working on INSTRUCTIONS ENTERANSWERS 1 1. Prepare common-size income statements. (Always use cell references and formulas where appropriate to receive full credit. If you copy/paste from the Instructions tab 2 you will be marked wrong.) 3 4 Percent of Sales Golden Fence Stone Wall Golden Fence Stone Wall S (amounts in millions) Company Corporation Company Corporation 6 Sales $ 987,236 $ 67,450 7 Cost of Goods Sold 678,626 43,370 8 Gross Profit 308,610 24,080 Selling, General, and Administrative 58,636 2,408 9 Expenses 10 Other Operating Expenses 12,344 722 11 Interest Expense 24,689 193 12 Earnings Before Provision for Taxes 212,941 20,757 13 Provision for Taxes 74,529 7,265 14 Net Income $ 138,412 $ 13,492 15 16 2. Compute profit margin, return on assets, and return on stockholders' equity. (Always use celi references and formulas where appropriate to receive full credit. If you copy/paste from the instructions tab 17 you will be marked wrong. Use cell references from prior calculations, if applicable.) 18 Golden Fence Stone Wall Company Corporation 20 Profit Margin 21 Return on Assets 22 Return on Stockholders' Equity 23 19 25 26 27 28 29 INSTRUCTIONS ENTERANSWERS