Assume that sales revenue in 2022 changed to $755,00 and cost of goods changed to $512,000. Income tax rate is 30%. Show the impact of these changes on the vertical analysis of the income statement.
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- Using data available in the case, calculate the annual growth rate from 2020 to 2021 (in percentages). All calculations should be rounded to two decimals (e.g., 12.77%). > Answer is complete but not entirely correct. 2021 2020 2020-2021 Revenue 2,057,622 1,736,432 18.50 % Cost of Goods Sold 1,259,830 921,980 36.64 % Gross Profit 797,792 814,452 (1.02) % Operating Expenses 789,795 570,245 38.50 % Operating Income 7,997 244,207 2,953.73% Net Income 14,553 191,960 (92.42) %help meSales are $2.45 million in 2020, $2.55 million in 2021, and $2.35 million in 2022.What is the percentage change from 2020 to 2021? What is the percentage change from 2021 to 2022? Be sure to indicate whether the percentage change is an increase or a decrease. (Round your answers to 1 decimal place.)
- Gross Profit for 2024 was $150,000 and for 2025 was \$200,000 . What is the percentage of increase or decrease in Gross Profit for the two periods?A.Perform horizontal analysisand vertical analysis (for 2020only)on the income statement. In your answer please remember to indicate if it is an INCREASE or (DECREASE) and round your findings to ONE decimal place [e.g. -32.996% is - 33.0% or minus 33.0% or (33.0%). B. Comment on the significant changes disclosed by the comparative statement of comprehensive income. What has caused the changes to occur? C. Prepare a statement of retained earnings for the year ended June 30, 2020. (Retained earnings at July 1, 2019 were $58,000, dividends declared and paid during the financial year were $37,000. D. Explain how profits for the year ended June 30, 2019 were $126,700 yet Retained Earnings at July 1, 2019 were only $58,000.Which is an example of horizontal analysis? A. Operating income amounts to P20,000. B. Acurrent ratio of 1:2 is established. C. Rent income in 2021 is 15% greater than in 2020. D. Advertising expense in 2021 is 6% of sales.
- prepare a horizontal analysis of revenues and grossin dollar amounts and in 2019 and 2018. (Enter amounts in millions as provided to you in the problem statement. Round the percentages to one decimal place, X.X%. Use a minus sign or parentheses to indicate a decrease.) (In millions) 2019 2018 2017 Revenue $9,575 $9,300 $8,975 cost of goods sold $6,250 $6,000 $5,890 Increase (decrease) 2019 2018 Amount Percentage Amount Percentage Revenue Gross ProfitA. Wally asks you to create an Income Statement for 2020 using the information below. 1. 2020 sales were 150% of last year’s sales2. Gross profit margin was 55%3. Operating profit margins were 15% 4. Interest expense fell to 7%, given a change in interest rates 5. The tax rate was 30% B. Based on the change in Income between 2020 and 2019, how would you say AndrewCo is doing?Begin by calculating the gross profit for each year, then prepare a horizontal analysis of revenues and gross profitlong dash—both in dollar amounts and in percentageslong dash—for 20192019 and 20182018. (Enter amounts in millions as provided to you in the problem statement. Round the percentages to one decimal place, X.X%. Use a minus sign or parentheses to indicate a decrease.) McDonald Corp. Income Statement - (Partial) Years Ended December 31, 2019 and 2018 (Amounts in millions) 2019 2018 2017 Revenues $9,575 $9,300 $8,975 Cost of Goods Sold 6,250 6,000 5,890 Gross Profit
- Chupapi Inc. has a gross profit ratio of 16.67 % for the year 2020. If Chupapi Inc. has gross profit of P 1,090,000 and P 6,000,000 net sales on year 2021, What would be the gross profit margin of Chupapi Inc, during 2021?Net income was $520,000 in 2020, $452,400 in 2021, and $524,784 in 2022. What is the percentage of change (a) from 2020 to 2021, and (b) from 2021 to 2022? Is the change an increase or a decrease? (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses eg. (45). Round percentages to 1 decimal place, eg. 12.3%.) Increase or (Decrease) Amount Percentage (a) 2020-2021 (b) 2021-2022Following are forecasts of sales, net operating profit after tax (NOPAT), and net operating assets (NOA) as of December 31, 2018, for Humana. Reported Horizon Period $ millions 2018 2019 2020 2021 2022 TerminalPeriod Sales $56,912 $57,766 $58,632 $59,512 $60,404 $61,008 NOPAT 2,492 2,542 2,580 2,619 2,658 2,684 NOA 4,032 4,097 4,158 4,221 4,284 4,327 Answer the following requirements assuming a discount rate (WACC) of 7.8%, a terminal period growth rate of 1%, common shares outstanding of 135.6 million, net nonoperating obligations (NNO) of $(6,129) million, which is negative because Humana’s nonoperating assets exceed its nonoperating liabilities, and no noncontrolling interest (NCI) on the balance sheet. (a) Estimate the value of a share of common stock using the residual operating income (ROPI) model as of December 31, 2018. Instructions: Round all answers to the nearest whole number, except for discount factors, shares outstanding (do not round), and…