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Question 1 Refer to Marriott's condensed Income Statements for two years information shown below. The company operates on a 365 days per year basis and
Question 1
Refer to Marriott's condensed Income Statements for two years information shown below. The company operates on a 365 days per year basis and has 25 unique rooms available.
Income Statement - December 31st Condensed)
Question 2
Prepare horizontal analyses for Income Statement
Prepare comments on which revenue (profit) center shows the highest increase in cost of sales, and highest increase in sales revenue year over year
Year 2018 S180,060 $11.006 $14,426 Sales Revenue Rooms (Mariott sold ,783 rooms for the year) $189,063 Sales Revenue Beverage Sales Revenue- Food $14,307 $15,292 Interest income Total Gross Revenues S80 S207,572 $218741 Cost of sales- Food $4,603 S1.050 7453 SA879 Cost of sales- Beverage Total Operating Costs Rooms - Payrol&elated Benefts Food & Beverage - Gross Payrol& Related Taes Gross Employees Benefits Interest expense $21,500 $16,600 $21.600 $20,194 $22,145 $17.098 $2,248 $2000 25,973 111520 Income tax 27,622 Total Operating Costs Net Income $94,052 $100,259 Credit card sales revenues represents 75N of all sales revenue Accounts receivable sales revenues represents 10% of allsales revenue, and all other revenues are cash sales
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