Managerial Accounting (5th Edition)
5th Edition
ISBN: 9780134128528
Author: Karen W. Braun, Wendy M. Tietz
Publisher: PEARSON
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Chapter 14, Problem 14.34AP
1.
To determine
To compute: Trend percentages for each item for 2014 through 2017.
2.
To determine
To compute:
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Net sales revenue, net income, and common stockholders' equity for Eyesight Mission Corporation, a manufacturer of contact lenses, follow for a four-year period.
E (Click the icon to view the net sales revenue, net income, and common equity)
Read the requirements.
Requirement 1. Compute trend analyses for each item for 2017-2019. Use 2016 as the base year, and round to the nearest whole percent.
Begin by computing Eyesight Mission Corporation's trend analysis for net sales revenue, then compute Eyesignt Mission Corporation's trend analysis for net income and finally compute Eyesight Mission Corporation's trend analysis for com
2019
2018
2017
2016
Net Sales Revenue
766,000
708,000
644.000
664,000
Trend Percentages
115 %
107 %
97 %
100 %
Net Income
60,000
$4
38,000 $
36.000
2.
44.000
Trend Percentages
136 %
86 %
82 %
100 %
Ending Common Stockholdors' Equity
368,000
352 000 $
326,000 $ 296,000
Trend Percentages
124 %
119 %
110
100 %
% OTI
Requirement 2. Compute the rate of return on…
Net sales revenue, net income, and common stockholders' equity for Eyesight Mission Corporation, a manufacturer of contact lenses, follow for a four-year
period.
E (Click the icon to view the net sales revenue, net income, and common equity)
Read the requirements.
Requirement 1. Compute trend analyses for each item for 2017 2019 Use 2016 as the base year, and round to the nearest whole percent.
Begin by computing Eyesight Mission Corporation's trend analysis for net sales revenue, then compute Eyesight Mission Corporation's trend analysis for net
income and finally compute Eyesight Mission Corporation's trend analysis for common stockholders' equity
2019
2018
2017
2016
Net Sales Revenue
$4
766,000
$4
708 000
644 000
664,000
Trend Percentages
100 %
Requirements
2019
2018
2017
2016
766,000 $ 708,000 $ 644,000 $ 664,000
44,000
Net Sales Revenue
$4
Net Income
60,000
38,000
36,000
Ending Common Stockholders' Equity
368,000
352,000
326,000
296,000
Computing trend analysis and return on common equity
Net sales revenue, net income, and common stockholders’ equity for Azbel Mission Corporation, a manufacturer of contact lenses, follow for a four-year period.
Requirements
Compute trend analyses for each item for 2017-2019. Use 2016 as the base year, and round to the nearest whole percent.
Compute the rate of return on common stockholders’ equity for 2017-2019, rounding to three decimal places.
Chapter 14 Solutions
Managerial Accounting (5th Edition)
Ch. 14 - (Learning Objective 1) Which of the following...Ch. 14 - Prob. 2QCCh. 14 - Prob. 3QCCh. 14 - Prob. 4QCCh. 14 - (Learning Objective 3) Which of the following is...Ch. 14 - (Learning Objective 4) Working capital is defined...Ch. 14 - Prob. 7QCCh. 14 - Prob. 8QCCh. 14 - Prob. 9QCCh. 14 - Prob. 10QC
Ch. 14 - Prob. 14.1SECh. 14 - Find trend percentages (Learning Objective 1)...Ch. 14 - Prob. 14.3SECh. 14 - Prepare common-size income statements (Learning...Ch. 14 - Analyze common-size income statements (Learning...Ch. 14 - Cartwrights Data Set used for S14-6 through...Ch. 14 - Cartwrights Data Set used for S14-6 through...Ch. 14 - Cartwrights Data Set used for S14-6 through...Ch. 14 - Prob. 14.9SECh. 14 - Prob. 14.10SECh. 14 - Prob. 14.11SECh. 14 - Prob. 14.12AECh. 14 - Prob. 14.13AECh. 14 - Prob. 14.14AECh. 14 - Prob. 14.15AECh. 14 - Prob. 14.16AECh. 14 - Calculate ratios (Learning Objective 4) Kelleher...Ch. 14 - Prob. 14.18AECh. 14 - Prob. 14.19AECh. 14 - Prob. 14.20AECh. 14 - Prob. 14.21AECh. 14 - Classify company sustainability measurements into...Ch. 14 - Prob. 14.23BECh. 14 - Prob. 14.24BECh. 14 - Prob. 14.25BECh. 14 - Prob. 14.26BECh. 14 - Prob. 14.27BECh. 14 - Calculate ratios (Learning Objective 4) Ponderosa...Ch. 14 - Prob. 14.29BECh. 14 - Prob. 14.30BECh. 14 - Prob. 14.31BECh. 14 - Calculate ratios (Learning Objective 4) Thornton...Ch. 14 - Prob. 14.33BECh. 14 - Prob. 14.34APCh. 14 - Comprehensive analysis (Learning Objectives 2, 3, ...Ch. 14 - Prob. 14.36APCh. 14 - Ratio analysis over two years (Learning Objective...Ch. 14 - Prob. 14.38APCh. 14 - Prob. 14.39BPCh. 14 - Prob. 14.40BPCh. 14 - Prob. 14.41BPCh. 14 - Ratio analysis over two years (Learning Objective...Ch. 14 - Make an investment decision (Learning Objective 4)...Ch. 14 - Prob. 14.44SCCh. 14 - Discussion Questions 1. Describe horizontal...Ch. 14 - Prob. 14.47ACTCh. 14 - Using financial statement ratios to analyze...
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- Computing trend analysis and return on common equity Net sales revenue, net income, and common stockholders’ equity for Eyesight Mission Corporation, a manufacturer of contact lenses, follow for a four-year period. Requirements Compute trend analyses for each item for 2017-2019. Use 2016 as the base year, and round to the nearest whole percent. Compute the rate of return on common stockholders’ equity for 2017-2019, rounding to three decimal places.arrow_forwardNet sales revenue, net income, and common stockholders' equity for Atkinson Mission Corporation, a manufacturer of contact lenses, follow for a four-year period. (Click the icon to view the net sales revenue, net income, and common equity.) Read the requirements. Requirement 1. Compute trend analyses for each item for 2023-2025. Use 2022 as the base year, and round to the nearest whole percent. Begin by computing Atkinson Mission Corporation's trend analysis for net sales revenue, then compute Atkinson Mission Corporation's trend analysis for net income and finally compute Atkinson Mission Corporation's trend analysis for common stockholders' equity. $ 2023 ( 2024 2025 2025 Net Sales Revenue Trend Percentages Net Income Trend Percentages Ending Common Stockholders' Equity $ 372,000 $ 356,000 $ Trend Percentages % $ 759,000 62,000 % $ % 2024 $ 709,000 $ 41,000 % ) + % % $ 2023 642,000 $ % 34,000 $ % 336,000 $ % 2022 660,000 100 % Requirement 2. Compute the rate of return on common…arrow_forwardCompleting a comprehensive financial statement analysis In its annual report, XYZ Athletic Supply, Inc. includes the following five-year financial summary: Requirements Analyze the company’s financial summary for the fiscal years 2014-2018 to decide whether to invest in the common stock of XYZ. Include the following sections in your analysis. Trend analysis for net sales revenue and net income (use 2014 as the base year). Profitability analysis. Evaluation of the ability to sell merchandise inventory. Evaluation of the ability to pay debts. Evaluation of dividends. Should you invest in the common stock of XYZ Athletic Supply, Inc.? Fully explain your final decision.arrow_forward
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