Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The following comparative income statement (in thousands of dollars) for the two recent fiscal years was adapted from the annual report of Calvin Motorsports, Inc.,
The following comparative income statement (in thousands of dollars) for the two recent fiscal years was adapted from the annual report of Calvin Motorsports, Inc., owner and operator of several major motor speedways, such as the Atlanta, Texas, and Las Vegas Motor Speedways.
Current Year | Previous Year | |||||||
Revenues: | ||||||||
Admissions | $96,136 | $109,585 | ||||||
Event-related revenue | 134,200 | 138,370 | ||||||
NASCAR broadcasting revenue | 184,952 | 176,245 | ||||||
Other operating revenue | 72,712 | 80,800 | ||||||
Total revenue | $488,000 | $505,000 | ||||||
Expenses and other: | ||||||||
Direct expense of events | $93,208 | $103,020 | ||||||
NASCAR purse and sanction fees | 120,048 | 123,220 | ||||||
Other direct expenses | 21,960 | 22,220 | ||||||
General and administrative | 198,616 | 227,250 | ||||||
Total expenses and other | $433,832 | $475,710 | ||||||
Income from continuing operations | $54,168 | $29,290 |
a. Prepare a comparative income statement for these two years in vertical form, stating each item as a percent of revenues. Round to one decimal place. Enter all amounts as positive numbers.
Current Year Amount | Current Year Percent | Prior Year Amount | Prior Year Percent | |
Revenues: | ||||
Admissions | $96,136 | fill in the blank da346e033063004_1% | $109,585 | fill in the blank da346e033063004_2% |
Event-related revenue | 134,200 | fill in the blank da346e033063004_3% | 138,370 | fill in the blank da346e033063004_4% |
NASCAR broadcasting revenue | 184,952 | fill in the blank da346e033063004_5% | 176,245 | fill in the blank da346e033063004_6% |
Other operating revenue | 72,712 | fill in the blank da346e033063004_7% | 80,800 | fill in the blank da346e033063004_8% |
Total revenue | $488,000 | fill in the blank da346e033063004_9% | $505,000 | fill in the blank da346e033063004_10% |
Expenses and other: | ||||
Direct expense of events | $93,208 | fill in the blank da346e033063004_11% | $103,020 | fill in the blank da346e033063004_12% |
NASCAR purse and sanction fees | 120,048 | fill in the blank da346e033063004_13% | 123,220 | fill in the blank da346e033063004_14% |
Other direct expenses | 21,960 | fill in the blank da346e033063004_15% | 22,220 | fill in the blank da346e033063004_16% |
General and administrative | 198,616 | fill in the blank da346e033063004_17% | 227,250 | fill in the blank da346e033063004_18% |
Total expenses and other | $433,832 | fill in the blank da346e033063004_19% | $475,710 | fill in the blank da346e033063004_20% |
Income from continuing operations | $54,168 | fill in the blank da346e033063004_21% | $29,290 | fill in the blank da346e033063004_22% |
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