Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Required information Skip to question [The following information applies to the questions displayed below.] Selected comparative financial statements of Korbin Company follow. KORBIN COMPANY Comparative
Required information
Skip to question
[The following information applies to the questions displayed below.] Selected comparative financial statements of Korbin Company follow.
KORBIN COMPANY | |||||||||
Comparative Income Statements | |||||||||
For Years Ended December 31, 2019, 2018, and 2017 | |||||||||
2019 | 2018 | 2017 | |||||||
Sales | $ | 405,732 | $ | 310,824 | $ | 215,700 | |||
Cost of goods sold | 244,251 | 196,752 | 138,048 | ||||||
Gross profit | 161,481 | 114,072 | 77,652 | ||||||
Selling expenses | 57,614 | 42,894 | 28,472 | ||||||
Administrative expenses | 36,516 | 27,353 | 17,903 | ||||||
Total expenses | 94,130 | 70,247 | 46,375 | ||||||
Income before taxes | 67,351 | 43,825 | 31,277 | ||||||
Income tax expense | 12,527 | 8,984 | 6,349 | ||||||
Net income | $ | 54,824 | $ | 34,841 | $ | 24,928 | |||
KORBIN COMPANY | |||||||||
Comparative Balance Sheets | |||||||||
December 31, 2019, 2018, and 2017 | |||||||||
2019 | 2018 | 2017 | |||||||
Assets | |||||||||
Current assets | $ | 59,962 | $ | 40,133 | $ | 53,648 | |||
Long-term investments | 0 | 700 | 4,110 | ||||||
Plant assets, net | 111,358 | 101,482 | 60,150 | ||||||
Total assets | $ | 171,320 | $ | 142,315 | $ | 117,908 | |||
Liabilities and Equity | |||||||||
Current liabilities | $ | 25,013 | $ | 21,205 | $ | 20,634 | |||
Common stock | 70,000 | 70,000 | 52,000 | ||||||
Other paid-in capital | 8,750 | 8,750 | 5,778 | ||||||
Retained earnings | 67,557 | 42,360 | 39,496 | ||||||
Total liabilities and equity | $ | 171,320 | $ | 142,315 | $ | 117,908 | |||
2. Complete the below table to calculate income statement data in common-size percents. (Round your percentage answers to 2 decimal places.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started