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History \"Exercise 13-4 Operating data for Swifty Corporation are presented belo

ID: 2593273 • Letter: H

Question

History "Exercise 13-4 Operating data for Swifty Corporation are presented below. Sales revenue Cost of goods sold Selling expenses Administrative expenses Income tax expense Net income $860,000 555,560 $550,000 380,050 117,82063,250 44,550 23,650 38,500 65,360 31,820 89,440 Prepare a schedule showing a vertical analysis for 2019 and 2018. (Round percentages to 1 decimal place, e.g. 12.1%.) SWIFTY CORPORATION 2019 2018 $860,000 555,560 304,440 117,820 Administrative expenses 65,360 Total operating expenses 183,180 Income before income taxes 121,260 31,820 $ 89,440 96 $550,000 % 380,050 96 169,950 % 63,250 % 44,550 % 107,800 % 62,150 % 23,650 96 S38.500 Sales Cost of goods sold Gross profit Seling expenses Income tax expense Net income Question Attempts: 0 of 3 use

Explanation / Answer

Amount % Amount % Sales                        860,000 100                             550,000 100 Cost of goods sold                        555,560       64.6                             380,050        69.1 Gross Profit                        304,440       35.4                             169,950        30.9 Selling Expenses                        117,820       13.7                               63,250        11.5 administrative expenses                           65,360         7.6                               44,550          8.1 Total Operating expenses                        183,180       21.3                             107,800        19.6 Income before income taxes                        121,260       14.1                               62,150        11.3 Income tax expenses                           31,820         3.7                               23,650          4.3 Net Income                           89,440       10.4                               38,500          7.0

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