The financial statement of M&S are presented in Appendix 5B or can be accessed at the book’s companion website, www.wiley.com./college/kiesoifrs.
Instructions
Refer to these financial statements and the accompanying notes to answer the following questions.
(a) What type of income statement format does M&S use? Indicate why this format might be used to present income statement information.
(b) What are M&S’s primary revenue sources?
(c) Compute M&S’s gross profit for each of the years 2007 and 2008. Explain why gross profit increased in 2008.
(d) Why does M&S make a distinction between operating and non-operating profit?
(e) Does M&S report any non-U.S. GAAP measures? Explain.