The December 31, 2013 and 2012 adjusted trial balances for Sport life Gym Corporation are shown on

Question:

The December 31, 2013 and 2012 adjusted trial balances for Sport life Gym Corporation are shown on the following page.

Required:
1. Prepare a comparative income statement for 2013 and 2012, a statement of stockholders' equity for 2013, and a comparative classified balance sheet for 2010 and 2012. The income statement should distinguish the gym's core and peripheral results, and group expenses by function (coaching, facilities, and general management). The change in Contributed Capital was caused by the issuance of new stock in 2013.
2. Identify two balance sheet and two income statement accounts that changed significantly in 2013. What might be the cause of these changes?
3. Calculate and interpret the debt-to-assets, asset turnover, and net profit margin ratios in 2013 and 2012. Total assets were $400,000 on December 31, 2011.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...