Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The average price of a gallon of gas in 2015 dropped $0.94 (28 percent) from $3.34 in 2014 (to $2.40 in 2015). Required: 1. Conduct

image text in transcribed
image text in transcribed
image text in transcribed
The average price of a gallon of gas in 2015 dropped $0.94 (28 percent) from $3.34 in 2014 (to $2.40 in 2015). Required: 1. Conduct a horizontal analysis by calculating the year-over-year changes in each line item, expressed in dollars and in percentages for the income statement of Chevron Corporation for the year ended December 31, 2015 (amounts in billions). 2-a. Conduct a vertical analysis by expressing each line as a percentage of total revenues. 2-b. Excluding income tax and other operating costs, did Chevron earn more profit per dollar of revenue in 2015 compared to 2014? Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Conduct a horizontal analysis by calculating the year-over-year changes in each line item, percentages for the income statement of Chevron Corporation for the year ended Decembe (Decreases should be indicated by a minus sign. Enter your answers in billions (i.e., 10,00 10). Round percentage values to 1 decimal place.) CHEVRON CORPORATION Income Statements (amounts in billions) For the Year Ended December 31 2015 140 2014 $ 210 Change in Dollars Percentage % $ 70 120 65 60 Revenues Cost of Crude Oil and Products Other Operating costs Income before Income Tax Expense Income Tax Expense Net Income % 96 % 5 30 10 % % $ 5 $ 20 Req2A > Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Conduct a vertical analysis by expressing each line as a percentage of total revenues. (Rou place.) CHEVRON CORPORATION Income Statements (amounts in billions) For the Year Ended December 31 2015 Revenues $ 140 % $ Cost of Crude Oil and Products 70 % Other Operating Costs 65 % Income before Income Tax Expense 5 % Income Tax Expense Net Income $ 5 % $ 2014 210 % % 120 60 30 % 5 % % 10 20 %

Step by Step Solution

There are 3 Steps involved in it

Step: 1

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_2

Step: 3

blur-text-image_3

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

Guide To Conducting Internal Audits Of Your Management Systems

Authors: Martin Pykett

1st Edition

B099C3GPMH, 979-8538997749

More Books

Students also viewed these Accounting questions

Question

Discuss the states of accounting

Answered: 1 week ago