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Hello, can you help me in this problem of doing the horizontal analysis. below are the data. Horizontal analysis using:   2016 2017 2018  Sales 227,279 251,589 286,378  Less: Cost of Sales 152,108 168,460 194,236  Gross Profit 75,171 83,129 92,142  Less: Selling and Administrative Expenses 38,128 40,728 46,192  Operating Income 37,043 42,401 45,950  Other income and expenses 268 118 409  Net Income Before Finance Charges and Tax 37,311 42,519 46,359  Less: Finance charges 3,212 2,658 2,998  Net Income Before Tax 34,099 39,861 43,361  Less: Income Tax Expense 10,097 11,635 12,828  Net Income After Tax 24,002 28,226 30,533 using the index numbers: Horizontal Anaysis using index numbers 2016 2017 2018 Sales       Less: Cost of Sales       Gross Profit       Less: Selling and Administrative Expenses       Operating Income       and the increase/decrease method: horizontal using  Increase/decrease method 2016 2017 2018 Operating Income       Other income and expenses       Net income before finance charges and tax       Less: Finanche charges       Net incme before tax       Less: Income tax expenses       Net income after tax

Hello, can you help me in this problem of doing the horizontal analysis. below are the data. Horizontal analysis using:   2016 2017 2018  Sales 227,279 251,589 286,378  Less: Cost of Sales 152,108 168,460 194,236  Gross Profit 75,171 83,129 92,142  Less: Selling and Administrative Expenses 38,128 40,728 46,192  Operating Income 37,043 42,401 45,950  Other income and expenses 268 118 409  Net Income Before Finance Charges and Tax 37,311 42,519 46,359  Less: Finance charges 3,212 2,658 2,998  Net Income Before Tax 34,099 39,861 43,361  Less: Income Tax Expense 10,097 11,635 12,828  Net Income After Tax 24,002 28,226 30,533 using the index numbers: Horizontal Anaysis using index numbers 2016 2017 2018 Sales       Less: Cost of Sales       Gross Profit       Less: Selling and Administrative Expenses       Operating Income       and the increase/decrease method: horizontal using  Increase/decrease method 2016 2017 2018 Operating Income       Other income and expenses       Net income before finance charges and tax       Less: Finanche charges       Net incme before tax       Less: Income tax expenses       Net income after tax

Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter12: Fainancial Statement Analysis
Section: Chapter Questions
Problem 87PSB
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Hello, can you help me in this problem of doing the horizontal analysis. below are the data. Horizontal analysis using:

  2016 2017 2018
 Sales 227,279 251,589 286,378
 Less: Cost of Sales 152,108 168,460 194,236
 Gross Profit 75,171 83,129 92,142
 Less: Selling and Administrative Expenses 38,128 40,728 46,192
 Operating Income 37,043 42,401 45,950
 Other income and expenses 268 118 409
 Net Income Before Finance Charges and Tax 37,311 42,519 46,359
 Less: Finance charges 3,212 2,658 2,998
 Net Income Before Tax 34,099 39,861 43,361
 Less: Income Tax Expense 10,097 11,635 12,828
 Net Income After Tax 24,002 28,226 30,533

using the index numbers:

Horizontal Anaysis using index numbers 2016 2017 2018
Sales      
Less: Cost of Sales      
Gross Profit      
Less: Selling and Administrative Expenses      
Operating Income      

and the increase/decrease method:

horizontal using  Increase/decrease method 2016 2017 2018
Operating Income      
Other income and expenses      
Net income before finance charges and tax      
Less: Finanche charges      
Net incme before tax      
Less: Income tax expenses      
Net income after tax      

 

 

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