American Intercontinental University
FINA310-1103B-08: Financial Management
September 2, 2011
This report paper will review both the selected financial statements and the Consolidated Statement of Operations for the year ended September 25, 2008 for Micro Chip Computer Corporation and answer four questions. These questions will bring to light the year-to-year percentage annual growth in total net sales and if the corporation met its goal of ten percent. This paper will also use the Percentage Sales Method and discuss its results.
Micro Chip Computer Corporation Financials
The financial statements and the Consolidated Statement of Operations for the year ended September 25, 2008 have a lot of information that can help its viewers if they use the proper formulas. For Micro Chip Computer Corporation, these statements will show their year-to-year percentage annual growth in total net sales and to forecast for the period of September 26, 2008 through September 25, 2009. Year-to-year percentage annual growth in total net sales
With the assistance of AIU Online Virtual Campus (2011) Unit 2 assignment and its guidance in its announcements, the figures in this chart have been calculated. Calculations for Year-to-Year Percentage Annual Growth in Total Net Sales| P- 2005| (11,933-11,062)/11,062=| (871)/11,062=| 0.078| C- 2004| | | |
P- 2006| (9,181-11,933)/11,933=| (-2,752)/11,933=| -0.23| C- 2005| | | |
P- 2007| (6,141-9,181)/9,181=| (-3,040)/9,181=| -0.33|
C- 2006| | | |
P- 2008| (8,334-6,141)/6,141=| (2,193)/6,141=| 0.36|
C- 2007| | | |
| | Average (-0.12/4)=| -0.0305|
In review of the calculations above, it appears that Micro Chip Computer Corporation did not achieve its sales goal of +10% annual revenue growth in 2009. When look at the chart, it is clear that the year-to-year percentage annual growth in total net...