The president is also concerned that administrative

Reference no: EM13572834

A comparative income statement is given below for Ryder Company:

Ryder Company Comparative Income Statement
	This Year		Last Year
Sales	$	7,340,000	$	5,505,000
Cost of goods sold		4,990,900		3,515,000

Gross margin		2,349,100		1,990,000

Selling and administrative expenses:
Selling expenses		1,475,000		1,072,500
Administrative expenses		705,000		610,500

Total selling and administrative expenses		2,180,000		1,683,000

Net operating income		169,100		307,000
Interest expense		104,000		85,000

Net income before taxes	$	65,100	$	222,000

The president is concerned that net income is down even though sales have increased during the year. The president is also concerned that administrative expenses have increased because the company made a concerted effort to cut waste out of the organization.

Required:
1.	Express each year's income statement in common-size percentages. (Input all amounts as positive values. Round your answers to 1 decimal place. Due to rounding, figures may not fully reconcile down a column.)

Ryder Company Comparative Income Statement
	This Year	Last Year
Sales	%	%
Cost of goods sold	%	%

Gross margin	%	%

Selling and administrative expenses:
Selling expenses	%	%
Administrative expenses	%	%

Total selling and administrative expenses	%	%

Net operating income	%	%
Interest expense	%	%

Net income before taxes	%	%

Reference no: EM13572834

Questions Cloud

Comparative financial statements for heritage antiquing : comparative financial statements for heritage antiquing services for the fiscal year ending december 31 appear below.

The company wifi pay this amount on jan 7th 2013 8 a : recording the journal entries for the fiscal year 2012 jan 1- dec 31 use the journal entry number for the journal entry

Advise nicola on the advantages and disadvantages of : question 1nicola and may are partners in a business which operates a second-hand bookshop. they have two employees

Buena terra corporation is reviewing its capital budget for : buena terra corporation is reviewing its capital budget for the upcoming year. it has paid a 3.00 dividend per share

The president is also concerned that administrative : a comparative income statement is given below for ryder company ryder company comparative income statementthis year

As the accountant for runson moving company you are : as the accountant for runson moving company you are preparing the companys annual return form 940 and schedule a. use

What is the net cost of the spectrometer that is what is : you have been asked by the president of your company to evaluate the proposed acquisition of a new spectrometer for the

The campbell company is evaluating the proposed acquisition : the campbell company is evaluating the proposed acquisition of a new milling machine. the machines base price is 108000

During the year dempsey corporations current ratio : during the year dempsey corporations current ratio increased while its quick ratio decreased. which of the following

User Account

All Pages