"Contribution Margin Income Statement" Essays and Research Papers

  • Contribution Margin Income Statement

    Excel Assignment #2 Preparing a Contribution Margin Income Statement and Operating Leverage Summer 2013 1. Assume that a company is budgeting to sell 2,500 units of a product at a selling price per unit of $32. The variable cost per unit is $26 and total fixed costs are $5,000. REQUIRED Prepare a contribution margin income statement and calculate operating leverage. 2. Suppose the company is unsure exactly how many units they will sell. As such, their marketing department has provided...

    Contribution margin, Cost, Costs 939  Words | 4  Pages

  • Contribution Margin and Format Income Statement

    1.   The following is Addison Corporation's contribution format income statement for last month: Sales         $1,000,000 Less: Variable Expenses         $    700,000 Contribution Margin         $    300,000 Less: Fixed Expenses         $    180,000 Operating Income         $    120,000 The company has no beginning or ending inventories. A total of 20,000 units were produced and sold last month. What is the company's margin of safety in dollars? $400 000 10 points   ...

    Contribution margin, Leverage, Management accounting 549  Words | 4  Pages

  • contribution income statement

    issues. Q15-4. In a contribution income statement, costs are classified according to behavior as variable or fixed, and the contribution margin (the difference between total revenues and total variable costs) that goes toward covering fixed costs and providing a profit is emphasized. In a functional income statement, costs are classified according to function (rather than behavior), such as manufacturing and selling and administrative. This is the type of income statement typically included in...

    Contribution margin, Cost, Costs 336  Words | 3  Pages

  • Contribution Margin

    1. a.) Contribution per CD unit: Unit Selling – Variable Costs $9.00 – 1.25 - .35 – 1.00 = $6.40 $6.40 b.) Break-even volume in CD units and dollars: ($275,000 + 250,000) / 6.40 = 82,032 units 82,032 * $9.00 = $738,288 to break even c.) Net profit if 1 million CD's sold: 1,000,000 * 6.40 = 6,400,000 6,400,000 – 525,000 = $5,875,000 d.) Necessary...

    Contribution margin, Costs, Generally Accepted Accounting Principles 553  Words | 4  Pages

  • Contribution Margin

    hour, and a commission of $ 6.00 for each haircut. In this case Andre wants to know how much is going to be the new contribution margin per haircut, the annual break-even point in number of haircuts. On our evaluation, Andre requested to find the following information. 1. Find the contribution margin per haircut. Contribution Margins Definition "Contribution margin (or margins) refers to the amount of revenue per product that is available to "contribute" towards the fixed costs and the profit...

    Contribution margin, Cost, Costs 1239  Words | 5  Pages

  • Contribution Margin Percentage

    corporate-ir.net/media_files/irol/11/114079/reports/2004ar.pdf You do not need to print this document to answer the questions. Benetton 1. How do the formats of the income statements shown on pages 33 and 50 of Benetton’s annual report differ from one another (disregard everything beneath the line titled “income from operations”)? Which expenses shown on page 50 appear to have been reclassified as variable selling costs on page 33? Absorption is a method where all the costs of production...

    Contribution margin, Costs, Leverage 1074  Words | 6  Pages

  • Variable Cost and Contribution Margin

    profitability. E. All of these. 2. The break-even point is that level of activity where:  A. total revenue equals total cost. B. variable cost equals fixed cost. C. total contribution margin equals the sum of variable cost plus fixed cost. D. sales revenue equals total variable cost. E. profit is greater than zero. 3. The unit contribution margin is calculated as the difference between:  A. selling price and fixed cost per unit. B. selling price and variable cost per unit. C. selling price and product cost...

    Contribution margin, Cost, Costs 1377  Words | 7  Pages

  • Variable Cost and Contribution Margin

     CASH FLOW DIRECT/INDIRECT 1. Given the following information and using the indirect method prepare the Cash Flows from Operating Activities section of the statement of cash flows. End of Year Beginning of Year Change Cash 23,500 37,400 (13,900) Accounts receivable (net) ...

    Contribution margin, Costs, Fixed cost 997  Words | 7  Pages

  • Variable Cost and Contribution Margin

    has decreased. | 5. | Sales are $500,000 and variable costs are $350,000. What is the contribution margin ratio? | A) | 43%. | B) | 30%. | C) | 70%. | D) | Cannot be determined because amounts are not expressed per unit. | 6. | Barcelona Bagpipes produces two models: Model 24 has sales of 500 units with a contribution margin of $40 each; Model 26 has sales of 350 units with a contribution margin of $50 each. If sales of Model 26 increase by 100 units, how much will profit change? | ...

    Contribution margin, Costs, Inventory 836  Words | 5  Pages

  • Contribution Margin and Break Even Analysis

    Contribution Margin and Break Even Analysis. Many factors come into play in determining business success. One of them is the financial factor. For a company to set financial goals it is crucial that its management know in detail the products or services they sale or provide. This is the analysis of two different scenarios at Aunt Connie's Cookies Simulation (University of Phoenix, 2011) and the financial performance of Jamestown Electric Supply Company (Heiter, et. al. 2008). During both analysis...

    Contribution margin, Cost, Costs 1622  Words | 5  Pages

  • Income Statements

    The Income Statement This indicates financial performance over a period of time. It is usually done at the end of a financial year (30th June), but an income statement can be made up at other times, e.g., if a business wishes to apply for a loan, the bank may ask for a more recent income statement. The other names for this kind of statement are Revenue Statement and Profit and Loss Statement. Income Statement for Ima Mess, year ended 30.6.12 | ...

    Comprehensive income, Cost of goods sold, Expense 513  Words | 3  Pages

  • Income Tax Contribution

    position of income tax in government revenue. Income tax is the main source of government revenue. If high sources of income tax in government revenue, government can make good development, economic planning for development of the nation. After knowing about the contribution of Income tax in government revenue of Nepal, we can find the strength and weakness of the government functions and method of raising the revenue. < There are various sources of government revenue. Income tax, VAT...

    Fiscal year, Generally Accepted Accounting Principles, Government 1935  Words | 7  Pages

  • Quiz: Variable Cost and Contribution Margin

    units. 2. The contribution margin per chair for the Colonial model is: A) $51. B) $16. C) $35. D) $25. The answer is b. CM = P-V = $60 - $35 - $9 = $16. Page 1 3. If the sales mix and sales units are as expected, the break-even in sales dollars is closest to: A) $132,000. B) $148,500. C) $143,000. D) $139,764. Price: Variable Costs: Contribution Margin: Contribution Margin Ratio: The answer is c. Colonial to Early American Sales Mix: 3:1 Weighted Average Contribution Margin Ratio: .75(.2667)...

    Arithmetic mean, Contribution margin, Costs 1007  Words | 4  Pages

  • Consolidated Statement of Income

    CONSOLIDATED STATEMENTS OF INCOME (USD  $) | 12 Months Ended | | | | | | | | | | In Thousands, except Per Share data | Dec. 31, 2010 | Dec. 31, 2009 | | | Share Price as of 1 Jan 2012 | | | $ 60.30 | | Net Sales |  $ 5,671,009 |  $ 5,298,668 | | | Number of outstanding shares as of 1 Jan 2012 | 225,000,000 | | Costs and Expenses | | | | | | | | | | | | Cost of sales | 3,255,801 | 3,245,531 | | | | | | | | | | Selling, marketing...

    Accounts receivable, Asset, Balance sheet 905  Words | 4  Pages

  • Income Statement and Statement of Cash Flows

    How are the income statement and statement of cash flows used to make business decisions? The income statement reflects the company's financial performance by showing how much money was generated (revenue), how much was spent (expenses), and the difference (profit) between the two over a period of time. It is divided into the operating and non-operating sections. It can also tell how much money shareholders would receive if the company were to distribute all of its net earnings. The cash flow...

    Cash flow, Cash flow statement, Future 622  Words | 3  Pages

  • Multiple-Step Income Statement

    Instructions (a) Prepare a multiple-step income statement for 2012. Assume that 60,000 shares of common stock are outstanding. Brokaw Corp Income Statement For The Year Ended December 31, 2012 Sales Revenue Net Sales $1,200,000 Cost of Goods Sold 780,000 Gross Profit 420,000 Operating Expenses Selling Expenses $65,000 Administration Expenses $48,000 113,000 Income from operations 307,000 ...

    Cost of goods sold, Generally Accepted Accounting Principles, Income 669  Words | 4  Pages

  • Income Statement and Cash Flows

    information was taken from the 2006 financial statements of pharmaceutical giant Merck and Co. All dollar amounts are in millions. Retained earnings, January 1, 2006 $37,980.0 Materials and production expense 6,001.1 Marketing and administrative expense 8,165.4 Dividends 3,318.7 Sales revenue 22,636.0 Research and development expense 4,782.9 Tax expense 1,787.6 Other revenue 2,677.1 Hint: Prepare income statement and retained earnings statement. (SO 4) Instructions (a) ...

    Finance, Generally Accepted Accounting Principles, Income 310  Words | 3  Pages

  • Gross Margin and Flow Controllers

    Sippican corporation was a low pre-tax operating income (1.8%). To solve that problem, a cause had to be found. Sippican reported gross margins of 35% on valves, 5% on pumps and 38% on flow controllers. After looking at a gross margins of the three product lines, one would think that pumps were an issue to work on, and a main cause for a low operating income, because the pump sales accounted for 47,36% of a total sales in March with just 5% operating margin. However, the method of measuring the product...

    Cost, Expense, Gross margin 1808  Words | 4  Pages

  • Depreciation and Income Statement

    alicante How to win outside the soccesfield Content The absolute goal of Ciclón de Alicante is to become a major soccer club in Spain. But how? The stadium • Q: What is the impact of the sale of the stadium transaction on Ciclón’s 2003 Income Statement and Statement of Cash Flows (under the Indirect Method), and on its Balance Sheet for the year ended on December 31th, 2003? Items to be addressed cash payment of $ 100 million cost of building the new stadium was $ 20 million market value of the land...

    Asset, Balance sheet, Cash flow 1013  Words | 4  Pages

  • Balance Sheet and Income Statement

    Individual Assignment: Balance Sheet and Income Statement Commentary Publicly traded companies are entities that are allow for the offering of its registered securities. This allows them to become traded over a one stock exchange or over the counter market. This process allows for companies to gauge how much the company is truly worth compared to other companies in the same field or overall. This gives some inherent advantages over some of the privately traded ones such as being able to reach...

    Asset, Balance sheet, Company 914  Words | 3  Pages

  • Stock and Income Statement

    the bottom line of their income statement and is a measure of the firm’s income over a given period of time. The cash flow of a firm shows how a firm has used the cash it earned during a set of time. There are two reasons that the income statement does not show the amount of cash earned. One, there are non-cash entries on the income statement and second, there are certain uses such as a purchase of a building that are not reported on the income statement. The statement of cash flows utilizes the...

    Cash flow, Dividend, Income statement 841  Words | 3  Pages

  • margin of safety

    $800,000 Variable costs (380,000) Contribution margin $420,000 Contribution margin ratio = $420,000/$800,000 = 0.525 Annual break-even dollar sales volume = $210,000/0.525 = $400,000 b. Annual margin of safety in dollars: Sales $800,000 Break-even sales dollars (400,000) Margin of safety $400,000 c. To determine the variable and total costs lines...

    Contribution margin, Cost, Costs 544  Words | 6  Pages

  • Variable Cost and Contribution Margin

    total $2,160,000. The selling price of the product is $10, and 600,000 units will be sold. Instructions Using the mathematical equation, (a) Compute the break-even point in units and dollars. (b) Compute the margin of safety in dollars and as a ratio. (c) Compute net income. 2. Taveras Industries developed the following information for the product it sells: Sales price $50 per unit Variable cost of goods sold $28 per unit Fixed cost of goods sold $650,000 Variable selling expense...

    Contribution margin, Cost, Costs 394  Words | 2  Pages

  • Variable Cost and Net Operating Income

    product-line income data: PRODUCT Total A B C Sales................................................$ 100,000........$50,000.........$20,000...........$30,000 Variable Expenses.............................. 60,000..........30,000............10,000.............20,000 Contribution Margin...........

    Cost, Costs, Depreciation 601  Words | 4  Pages

  • Balance Sheet and Income Statement Analysis

    5 – BALANCE SHEET AND INCOME STATEMENT -Identify the different financial statements (BS*, IS, Statement of Stockholders’ Equity, and related notes) -Identify the different components of the BS (Assets: current and long term; Liabilities: current and long term; stockholders’ equity: preferred stock, common stock, PIC, treasury stock) -Identify the different component of the IS (Gross profit, earnings before interest and taxes, interest expense, income tax expense, income from continuing operations...

    Asset, Balance sheet, Depreciation 553  Words | 3  Pages

  • Balance Sheet and Income Statement Commentary

    Balance Sheet and Income Statement Commentary Belinda Greer BSA/500 March 24, 2012 Murali Ramachandran Balance Sheet and Income Statement Commentary Balance sheets and income statements are a snapshot of a company’s stability and financial situation. Combined the statements show the income, expenses, and stockholder’s equity in the company. These statements are often analyzed by financial institutions when a company comes to them needing a loan. Stockholders and other investors also look...

    Accounting equation, Asset, Balance sheet 1501  Words | 4  Pages

  • Contribution Margin and Break Even Point

    Contribution Margin and Break Even Point by ACC 202 Trident University July 22, 2011 Contribution Margin and Break Even Point I’m going to discuss Contribution margin and what it is and how it relates to companies and profits. Contribution margin is the amount remaining from sales revenue after variable expenses have been deducted. It is the amount available to cover fixed expenses such as lease agreements and then to provide profits for the period. Contribution margin is first...

    Contribution margin, Cost, Costs 498  Words | 2  Pages

  • Income Statement and Dana Wheeler

    $45,000,000 $60,000,000 $60,000,000 $60,000,000 $60,000,000 SGA $40,000,000 $41,200,000 $41,200,000 $41,200,000 $41,200,000 Total Expense $216,918,912 $234,527,021 $235,772,425 $252,986,477 $258,678,368 Net Income $93,711,488 $54,640,339 $94,908,407 $151,496,083 $168,867,232 Margin 30% 19% 29% 37% 39% ...

    52, Competitor analysis, Income statement 674  Words | 2  Pages

  • Contribution Analysis

    Laticia G. Josiah Finance 540 “Contribution Margin and Break Even Analysis” Simulation Prof. Richard Franchetti April 6, 2005 The ultimate goal of any firm is to generate profit. Steve Lefever states that there are two ways to generate profit: you can simply go from day to day and hope it happens or, you can identify the primary “drivers” of profitability and manage them. It is important for managers to manage how the sales dollars flow through the firm. Break-even analysis can help...

    Cost, Costs, Variable cost 1307  Words | 4  Pages

  • Income Statement and Milestone

    expended in cash. Use of the cash basis generally is not considered to be in conformity with generally accepted accounting principles (GAAP) and is therefore used only in selected situations, such as for very small businesses and (when permitted) for income tax reporting What is a “Milestone?” The amendments in ASU 2010-17 add a specific definition of “milestone” to the ASC master glossary. According to that definition, a milestone event must carry a substantive uncertainty when the arrangement is...

    Deliverable, Generally Accepted Accounting Principles, Income 2124  Words | 6  Pages

  • HCA 311 Week 2 Assignment Contribution Margin

    This paperwork of HCA 311 Week 2 Assignment Contribution Margin contains: Complete the Assignment Exercise 7-2 on page 365. Answer the questions in the text, and submit your responses to your instructor. 1.Compute the contribution margin for the Community Center Mental Health Program. 2.What does the result tell you about the program? Health Care - General Health Care ASHFORD HCA 311 Week 1 Assignment Decision Making ASHFORD HCA 311 Week 1 DQ 1 Senate...

    Decision theory, Economics, Health care 469  Words | 3  Pages

  • Comprehensive Balance Sheet and Income Statement

    50,000 Total Noncurrent Assets ……………………………………………………………………………… $1,307,100 Total Assets $2,080,554 Liabilities and Stockholder’s Equity Liabilities Current Liabilities Accounts Payable $197,532 Income Taxes Payable 62,520 Salaries Payable 52,000 Notes Payable to Banks 50,000 Mortgage Payable-current portion 18,000 Accrued Liabilities 9,500 Accrued Interest on Notes payable 500 ...

    Accounts payable, Accounts receivable, Asset 336  Words | 3  Pages

  • Financial Statements: Industry Comparison

    Financial Statements: Industry Comparison University of Phoenix BSA 500: Business Systems I Instructor: May 28, 2007 Financial Statements: Industry Comparison More often managers are exposed to financial data and the need exists to develop knowledge and understanding of financial accounting concepts and principals. Nearly all companies prepare financial statements of some type and the complexity of those statements will vary. The analysis and interpretations of financial statements...

    Annual report, Asset, Balance sheet 1549  Words | 6  Pages

  • Profit and Loss Statement Paper

    Profit and Loss Statement Paper Before beginning, it should be noted that although this project is to be for a Profit and Loss (P&L) Statement, only an Income Statement is available at the Kudler Fine Foods website (Apollo Group, 2011). However, Income Statements and P&L Statements are, for all intents and purposes, the same thing. With that said, it cannot be determined conclusively by reading the Income Statement for Kudler Fine Foods if the report is monthly...

    Cost of goods sold, Earnings before interest and taxes, Earnings before interest, taxes, depreciation and amortization 940  Words | 4  Pages

  • Balance Sheets and Income Statements

    training to the employees. It is proper to have a representative from an outside company for training on HIPAA and privacy regulations. The author and interviewer spoke with a homeless man who stating he views the content of the dumpster as a means of income. The homeless man sells items he finds in the dumpster to make money. Identity theft is an increasing problem in our society. Identity theft is a crime. Patient’s personal information can easily be sold to a criminal, who can apply for credit and...

    CVS Caremark, Federal Trade Commission, Health care 1118  Words | 4  Pages

  • Variable Cost and Contribution Margin

    recoup our costs and achieve a target return on investment?” 12-6 A target cost per unit is the estimated long-run cost per unit of a product (or service) that, when sold at the target price, enables the company to achieve the targeted operating income per unit. 12-7 Value engineering is a systematic evaluation of all aspects of the value-chain business functions, with the objective of reducing costs while satisfying customer needs. Value engineering via improvement in product and process designs...

    Cost, Costs, Economics of production 8010  Words | 37  Pages

  • Best Financial Statement

    What's your favorite financial statement and why?" The question was spoken quickly and with a tinge of annoyance, as my interviewer eyed me disdainfully from his cushy black leather chair. The investment banker had little time to conduct these ridiculously long interviews that are standard fare for analyst candidates. I shifted uncomfortably in my seat and scanned my frazzled brain for the "right" answer. "Well, of course all three financial statements should be studied in conjunction with...

    Balance sheet, Cash flow, Financial statements 1153  Words | 5  Pages

  • Variable Cost and Contribution Margin

    for $121.90 per unit. According to the activity-based costing system, the product margin for product P23F is:  A. $9,223.20 B. $7,853.60 C. $5,401.60 D. $22,950.00 4. Kraska Corporation has provided the following data from its activity-based costing system:    Data concerning one of the company's products, Product O11W, appear below:    According to the activity-based costing system, the product margin for product O11W is:  A. $4,651.80 B. $1,688.10 C. $17,934.00 D. $3,956.10 ...

    Contribution margin, Cost, Costs 2872  Words | 20  Pages

  • CORBIN ENTERPRISES Income Statement

    Refer to the list of income statement items in Problem 2-6A. Assume that Corbin Enterprises classifies all operating expenses into two categories: (1) Selling and (2) General and administrative. Required 1. Prepare a multiple-step income statement for the year ended December 31, 2010. 2. What advantages do you see in this form for the income statement? 3. Compute Corbin’s profit margin. 4. Comment on Corbin’s profitability. What other factors need to be taken into account to assess Corbin’s...

    Expense, Generally Accepted Accounting Principles, Income 269  Words | 2  Pages

  • Income Smoothing

    Case 5-1 Income Smoothing a. Firstly, investors tend to invest in companies with stable earnings rather than one with volatile earnings. With stable earnings, there will be more likely an issuance of dividends and investors could easily predict the company’s future earnings compared to one with unstable earnings. With consistent earnings generated, it gives investors a secured feeling that it will again generate earnings as predicted. Confidence in the growth of rate of earnings is crucial because...

    Balance sheet, Cash flow, Financial statements 1752  Words | 6  Pages

  • Income Statement Shows the True Profit of an Entity

    An income statement is part of the three main financial statements (balance sheet and cash flow statement) companies are obliged to produce by law. It is dependent upon by stakeholder to show a true and fair view for decision making. For instance, a potential investor that is willing to invest in a particular company. But, the question arises as to whether an income statement reports the true profit of an entity, and to what extent it can be relied on by its users. On one side, accountants view...

    Balance sheet, Cash flow, Depreciation 1739  Words | 5  Pages

  • Variable Cost and Contribution Margin

    Direct materials = $52,000 3. The Lyons Company's cost of goods manufactured was $120,000 when its sales were $360,000 and its gross margin was $220,000. If the ending inventory of finished goods was $30,000, the beginning inventory of finished goods must have been:  A. $150,000 B. $20,000 C. $50,000 D. $110,000 Cost of goods sold = Sales - Gross margin Cost of goods sold = $360,000 - $220,000 Cost of goods sold = $140,000   4. Last month a manufacturing company had the following...

    Contribution margin, Cost, Costs 2041  Words | 11  Pages

  • Accounting Policies, Income Statement and Related Items

    executives. Financial statements are the final product of accounting process. Income statement provides data for investment and other decisions. The net income is essentially the common income statement form, consisting of classifications such as income from continuing operations, discontinued operations, extraordinary items, and cumulative effects of changes in accounting principles. In this study we investigate the relative ability of comprehensive income and net income to summarize firm performance...

    Balance sheet, Comprehensive income, Financial Accounting Standards Board 2292  Words | 7  Pages

  • financial statement

    Analysis of Financial Statements After reading this chapter, students should be able to: Explain why ratio analysis is usually the first step in the analysis of a company’s financial statements. List the five groups of ratios, specify which ratios belong in each group, and explain what information each group gives us about the firm’s financial position. State what trend analysis is, and why it is important. Describe how the Du Pont chart is used, and how it may be modified to include...

    Balance sheet, Cash flow, Financial ratio 1525  Words | 7  Pages

  • Single Step vs Multi-Step Income Statement

    E4-4 (Multiple-Step and Single-Step) Two accountants for the firm of Allen and Wright are arguing about the merits of presenting an income statement in a multiple-step versus a single-step format. The discussion involves the following 2012 information related to Webster Company ($000 omitted). Administrative expense Officers’ salaries $4,900 Depreciation of office furniture and equipment 3,960 Cost of goods sold 63,570 Rent...

    Cost of goods sold, Expense, Generally Accepted Accounting Principles 921  Words | 6  Pages

  • Financial Statement Analysis-Questions (1)

    ------------------------------------------------- BBA 4201: Financial Statement Analysis &amp; Control 1. Describe some of the analytical uses to which financial statement analysis can be put. 2. What are the sources of financial information? 3. Who are the users of financial statements? 4. What are the objectives of financial statements? 5. What are the limitations of financial statement analysis? 6. Discuss the need for comparative analysis. 7. Identify the tools of financial statement analysis. 8. Explain...

    Balance sheet, Capital asset pricing model, Cash flow 1087  Words | 4  Pages

  • Income Statement

    4-1 4 Income Statement Usefulness   Predicting future performance.  4-2 Evaluate past performance. Help assess the risk or uncertainty of achieving future cash flows. Income Statement Limitations  Companies omit items that cannot be measured reliably.   4-3 Income is affected by the accounting methods employed. Income measurement involves judgment. Income Statement Quality of Earnings Companies have incentives to manage income to meet or ...

    Balance sheet, Expense, Generally Accepted Accounting Principles 1328  Words | 30  Pages

  • Balance Sheet and Income Statement Commentary

    Balance Sheet and Income Statement Commentary BSA/500 – Business Systems I July 2, 2012 Balance Sheet and Income Statement Commentary JB Hunt (Trucking and logistics) On JB Hunt’s balance sheet for 2011 lists current assets of $513,542,000 and current liabilities of $438,515,000, yielding a current ratio of 1.17, which indicates the company, has $1.17 of current assets for every $1 of current liabilities. The previous year 2010, the current ratio was 0.91. This shows a 29% increase in the...

    Asset, Balance sheet, Generally Accepted Accounting Principles 2279  Words | 6  Pages

  • Generally Accepted Accounting Principles and Contribution Margin

    Escareno Corporation has provided its contribution format income statement for June. The company produces and sells a single product. Sales (8,400 units): ($) 764,400 Variable expenses: ($) 445,200 Contribution margin: ($) 319,200 Fixed expenses: ($) 250,900 Net operating income: ($) 68,300 If the company sells 8,200 units, its total contribution margin should be closest to: Merchandise with a sales price of $500 is sold on account with term 2/10, n/30. The journal entry to record the sale would...

    Accounts receivable, Contribution margin, Earnings before interest and taxes 529  Words | 2  Pages

  • Balance Sheet and Net Income

    Consider the following simplified financial statements for the Phillips Corporation (assuming no income taxes): | Income Statement | Balance Sheet |   Sales | $17,000   |   Assets | $13,127   |   Debt | $7,541   |   Costs | 11,730   |   |   |   Equity | 5,586   |     Net income | ------------------------------------------------- $5,270   |     Total | ------------------------------------------------- $13,127   |     Total | ------------------------------------------------- $13,127  ...

    Asset, Balance sheet, Generally Accepted Accounting Principles 840  Words | 6  Pages

  • Research: Income Statement and Laser Recording Systems

    transactions. (Use the general ledger accounts prepared in Chapter 3.) | 220 chapter 4 (c) Totals(e) Totals
(f) Net income(h) TotalsAccrual Accounting ConceptsPrepare a trial balance at December 31, 2011.
(d) Prepare and post adjusting journal entries for the month of December.Prepare an adjusted trial balance as of December 31, 2011.
Prepare an income statement and a retained earnings statement for the 2-month pe- riod ending December 31, 2011, and a classified balance sheet as of December 31, 2011.$8...

    Balance sheet, Depreciation, Financial statements 1437  Words | 4  Pages

  • Financial Statement Analysis for Microsoft Corporation

    Financial Statement Analysis A financial statement analysis will be presented for Microsoft Corporation. “Microsoft Corporation is engaged in developing, manufacturing, licensing and supporting a range of software products and services for different types of computing devices” (MSN.com, 2010). This corporation trades publicly (NASDAQ: MSFT) and does business in Puerto Rico with offices in Guaynabo, PR (services) and Humacao, PR (manufacturing and services). To measure their progress...

    Asset, Balance sheet, Financial ratio 885  Words | 3  Pages

  • Role Analysis for the Financial Statement

    Appendix 2A Financial Statement Analysis Using a Return on Equity (ROE) Framework 1 Appendix 2A Financial Statement Analysis Using a Return on Equity (ROE) Framework Between 1992 and 2003 the commercial banking industry experienced a period of record profits. This was quite a change from the late 1980s and early 1990s, when banks were failing in record numbers. Despite record profits, many FIs have areas of weakness and inefficiency that need to be addressed. One way of identifying...

    Balance sheet, Financial ratio, Financial ratios 543  Words | 3  Pages

  • Patton Fuller Financial Statement Review

     Patton- Fuller Financial Statement Review Learning Team B HCS/405 June 22, 2015 Joe Gazdik Patton- Fuller Financial Statement Review The success of any organization is heavily based on its ability to appropriately handle every aspect of its financials. Those aspects include a range of financial activities that include the inflow of cash and the outflow of cash which can be affected by a number of events including the raising of revenue through products or services, investments...

    Annual report, Asset, Balance sheet 852  Words | 5  Pages

  • How to Report Earthquake Damages in the Income Statement

    MEMORANDUM TO: Chief Financial Officer FROM: Controller DATE: August 4, 1990 SUBJECT: How to Report Earthquake Damages in the Income Statement CHHS Inc. has suffered extensive damages due to the after math of the October 17, 1989 San Francisco Bay Area earthquake that hit at a 7.1 magnitude on the Richter scale. Twelve of the twenty-two stores have been closed for a varying period of time due to the large damages that occurred. In total, damages have summed to...

    Earthquake, Financial Accounting Standards Board, Income 695  Words | 3  Pages

  • Income Statement

    TRUE-FALSE STATEMENTS 8. Closing entries are not needed if the business plans to continue operating in the future and issue financial statements each year. 9. The dividends account is closed to the Income Summary account in order to properly determine net income (or loss) for the period. 10. After closing entries have been journalized and posted, all temporary accounts in the ledger should have zero balances. 11. Closing revenue and expense accounts to the...

    Accounts receivable, Asset, Balance sheet 10385  Words | 51  Pages

  • Us Gaap and Ifrs Difference in Income Statement

    Income Statement Income statements present an ordered list, grouped by broad categories of revenues and expenses. The income statement begins with revenues followed by a list of expenses. U.S. GAAP and IFRS requirements for the presentation of income statements are similar, with some important differences. *Other than separating revenues from expenses, U.S. GAAP provides little guidance about which items the firm must separately display or their order. IFRS requires, at a minimum, the...

    Balance sheet, Expense, Financial statements 730  Words | 3  Pages

  • Bsa 500 Week 4 Balance Sheet and Income Statement Commentary

    Balance Sheet and Income Statement Commentary Michael Turner BSA 500 – Business Systems I July 24, 2013 Simon Chen Balance Sheet and Income Statement Commentary Balance Sheets and Income Statements is an approach to review the overall financial status of the company. We will be reviewing four companies in different industries’ balance sheet and income statements. With a technique to combine the statements we will be able to evaluate the companies’ income, expense and stockholder’s equity in...

    Asset, Balance sheet, Current asset 1256  Words | 4  Pages

  • Income Statement

    Income statement The income statement or the profit and loss account as it is also called measures reports how much profit (wealth) has the business generated over a period of time. To measure profit the total generated revenue over a period must be identified. Revenue is a measure of inflow of economic benefits arising from the operations of the business. These benefits will either result in an increase of assets such as cash or amounts owed to the business by the customers or a decrease...

    Balance sheet, Depreciation, Expense 3597  Words | 13  Pages

  • Understanding Key Financial Statements

    Analyzing Financial Statements July 6, 2009 Ellen Tobey MMPBL/503 Mr. William Mellett Introduction Financial statements are created to give the small business owner a clear understanding of how their company is performing. Accurately prepared financial statements are important to manage the business, borrow money and pay the correct amount of tax. The three basic financial statements are the balance sheet, the income statement and statement of cash flows; each tells something different...

    Asset, Balance sheet, Cash flow 1205  Words | 4  Pages

tracking img