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i need the fomula for common size in come statement I keep messing up sales/sale

ID: 2387071 • Letter: I

Question

i need the fomula for common size in come statement I keep messing up sales/sales but i have to enter it right.

Smith Burgers
Income Statements
Jan 1 - Dec 31 2010
2010 2009
Sales $2,900,000 $2,350,000
Cost of Goods 2,030,000 1,645,000
Gross Profit 870,000 705,000 2
Depreciation 62,000 58,000
Selling & Admin. Expense 425,000 390,000
Lease Expense 65,000 65,000
Net Operating Income 318,000 192,000 2
Interest Expense 112,000 68,000
Earnings Before Taxes 206,000 124,000 2
Taxes 72,100 43,400
Net Income $133,900 $80,600

Notes:
Tax Rate 35.00% 35.00%
Shares 38,000 30,000
Earnings per Share $3.52 $2.69




Smith Burgers
Common Size Income Statements
Jan 1 - Dec 31 2010
2010 2009
Sales
Cost of Goods
Gross Profit
Depreciation
Selling & Admin. Expense
Lease Expense
Net Operating Income
Interest Expense
Earnings Before Taxes
Taxes
Net Income




Explanation / Answer

Smith Burgers Common Size Income Statements 2010 2009 Sales     2,900,000    2,350,000 Cost of Goods     2,030,000    1,645,000 Gross Profit 870000.00 705000.00 Depreciation          62,000         58,000 Selling & Admin. Expense        425,000       390,000 Lease Expense          65,000         65,000 Net Operating Income        318,000       192,000 Interest Expense        112,000         68,000 Earnings Before Taxes (d)        206,000       124,000 Taxes ( d @35% )          72,100         43,400 Net Income (a)        133,900         80,600 Shares (b)          38,000         30,000 Earnings per share (a/b)             3.52            2.69