Question
Selected data from the financial statements of Bloom's Garden Centre is provided below. 2014 2013 Accounts receivable $70 000 $46 000 Inventory 10 000 17
Selected data from the financial statements of Bloom's Garden Centre is provided below.
2014
2013
Accounts receivable
$70 000
$46 000
Inventory
10 000
17 000
Total assets
470 000
360 000
Net sales
380 000
270 000
Cost of goods sold
170 000
220 000
Which of the following would result from a vertical analysis of Bloom's statement of comprehensive income?
Gross profit is 55.3% of net sales for 2014
Net sales are 84.4% of total assets for 2014
Cost of goods sold decreased $50 000 or 22.7% during 2014
The accounts receivable turnover ratio is 7.76 in 2014
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Financial Statement Analysis And Security Valuation
Authors: Stephen H Penman
4th Edition
0073379662, 9780073379661
