The following condensed financial information is available for lululemon athletica Inc. Instructions (a) Perform a horizontal percent
Question:
Instructions
(a) Perform a horizontal percent of base year analysis of lululemon's income statement and balance sheet, assuming 2012 is the base year.
(b) Using the analyses you prepared in part (a), identify any significant changes between 2012 and 2015.
(c) Which do you think would be more useful-a percent of base year amount or calculating the percentage change between periods-to analyze lululemon between 2012 and 2015? Explain.
TAKING IT FURTHER
If the operating expenses for lululemon are increasing at a faster rate than revenues, what are some of the things lululemon should consider to turn this trend around?
Step by Step Answer:
Accounting Principles
ISBN: 978-1119048473
7th Canadian Edition Volume 2
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak