Mcdonough products inc income statement compared with

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McDonough Products, Inc. Income Statement Compared with Industry Average Year Ended December 31, 2010 McDonough "Industry Average" Net sales.$700,000 100.0% Cost of goods sold.490,000 57.3 Gross profit. 210,000 42.7 Operating expenses .175,000 29.4 Operating income.35,000 13.3 Other expenses.7,000 2.5 Net income. $28,000 10.8% McDonough Products, Inc. Balance Sheet Compared with Industry Average December 31, 2010 McDonough "Industry Average" Current assets.$471,200 72.1% Fixed assets, net 114,700 19.0 Intangible assets, net21,080 4.8 Other assets. 13,020 4.1 Total .620,000 100.0% Current liabilities . 240,560 47.2% Long-term liabilities . 135,160 21.0 Stockholders' equity. 244,280 31.8 Total.. $620,000 100.0% Industry Average Current Ratio 1.53 Industry Average Total Debt to Total Assets 0.68 See red triangle for helpful hints. Requirements 1. Prepare a common-size income statement and balance sheet for McDonough Products. The first column of each statement should present McDonough Products' common-size statement, and the second column should show the industry averages.

Reference no: EM13566454

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