Analyze The Walt Disney Company by segmentThe Walt Disney Company (DIS) is a leading worldwide entertainment company. Disney operates four business segments. These segmentsand some of their larger businesses are:• Media Networks: ABC Network, ESPN, Disney Channel, and A&E• Parks and Resorts: Walt Disney World Resort, Disneyland, and International Disney Resorts• Studio Entertainment: Walt Disney Pictures, Pixar, Marvel, and LucasfilmConsumer Products and Interactive Media: Licensing of Disney characters, publishing, and retail storesRecent comparative revenues for the four segments are as follows (in millions):SegmentYear 3Year 1Media Networks$23,689 $21,152Parks and Resorts16,97415,099Studio Entertainment7,2789,441Consumer Products and Interactive Media5,5285,284$55,632 $48,813Totala. Prepare a vertical analysis of the segment sales to total sales for Year 1 and Year 3. Round percentages to nearest whole percent.Note: Due to rounding, your totals may exceed 100 percent.Year 3SegmentYear 3 Percentage Year 1 Year 1 Percentage% $21,152Media Networks$23,689Parks and Resorts16,97415,099Studio Entertainment9,4417,278Consumer Products & Interactive Media5,5285,284% $48,813Total$55,632b. The revenues of Parks and Resorts and Consumer Products & Interactive Media segments as a percentage of total revenue hasfrom Year 1 to Year 3. The offsetting gains came from two-percentage point gains fromfrom Year1 to Year 3. Thus, there was slight adjustment in the relative segment sales between Year 1 and Year 3. C. Prepare a horizontal analysis of the segment sales between Year 1 and Year 3. Round percentages to nearest whole percent.Amount Change% ChangeSegmentYear 3Year 1Media Networks$23,689 $21,152Parks and Resorts16,97415,099Studio Entertainment9,4417,278Consumer Products & Interactive Media5,5285,284$55,632 $48,813Totald. Which segment showed the largest growth?Which segment showed the smallest growth?%24

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Asked Feb 1, 2020
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Analyze The Walt Disney Company by segment

The Walt Disney Company (DIS) is a leading worldwide entertainment company. Disney operates four business segments. These segments and some of their larger businesses are:

  • Media Networks: ABC Network, ESPN, Disney Channel, and A&E
  • Parks and Resorts: Walt Disney World Resort, Disneyland, and International Disney Resorts
  • Studio Entertainment: Walt Disney Pictures, Pixar, Marvel, and Lucasfilm
  • Consumer Products and Interactive Media: Licensing of Disney characters, publishing, and retail stores

Recent comparative revenues for the four segments are as follows (in millions):

 

Analyze The Walt Disney Company by segment
The Walt Disney Company (DIS) is a leading worldwide entertainment company. Disney operates four business segments. These segments
and some of their larger businesses are:
• Media Networks: ABC Network, ESPN, Disney Channel, and A&E
• Parks and Resorts: Walt Disney World Resort, Disneyland, and International Disney Resorts
• Studio Entertainment: Walt Disney Pictures, Pixar, Marvel, and Lucasfilm
Consumer Products and Interactive Media: Licensing of Disney characters, publishing, and retail stores
Recent comparative revenues for the four segments are as follows (in millions):
Segment
Year 3
Year 1
Media Networks
$23,689 $21,152
Parks and Resorts
16,974
15,099
Studio Entertainment
7,278
9,441
Consumer Products and Interactive Media
5,528
5,284
$55,632 $48,813
Total
a. Prepare a vertical analysis of the segment sales to total sales for Year 1 and Year 3. Round percentages to nearest whole percent.
Note: Due to rounding, your totals may exceed 100 percent.
Year 3
Segment
Year 3 Percentage Year 1 Year 1 Percentage
% $21,152
Media Networks
$23,689
Parks and Resorts
16,974
15,099
Studio Entertainment
9,441
7,278
Consumer Products & Interactive Media
5,528
5,284
% $48,813
Total
$55,632
b. The revenues of Parks and Resorts and Consumer Products & Interactive Media segments as a percentage of total revenue has
from Year 1 to Year 3. The offsetting gains came from two-percentage point gains from
from Year
1 to Year 3. Thus, there was slight adjustment in the relative segment sales between Year 1 and Year 3.
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Analyze The Walt Disney Company by segment The Walt Disney Company (DIS) is a leading worldwide entertainment company. Disney operates four business segments. These segments and some of their larger businesses are: • Media Networks: ABC Network, ESPN, Disney Channel, and A&E • Parks and Resorts: Walt Disney World Resort, Disneyland, and International Disney Resorts • Studio Entertainment: Walt Disney Pictures, Pixar, Marvel, and Lucasfilm Consumer Products and Interactive Media: Licensing of Disney characters, publishing, and retail stores Recent comparative revenues for the four segments are as follows (in millions): Segment Year 3 Year 1 Media Networks $23,689 $21,152 Parks and Resorts 16,974 15,099 Studio Entertainment 7,278 9,441 Consumer Products and Interactive Media 5,528 5,284 $55,632 $48,813 Total a. Prepare a vertical analysis of the segment sales to total sales for Year 1 and Year 3. Round percentages to nearest whole percent. Note: Due to rounding, your totals may exceed 100 percent. Year 3 Segment Year 3 Percentage Year 1 Year 1 Percentage % $21,152 Media Networks $23,689 Parks and Resorts 16,974 15,099 Studio Entertainment 9,441 7,278 Consumer Products & Interactive Media 5,528 5,284 % $48,813 Total $55,632 b. The revenues of Parks and Resorts and Consumer Products & Interactive Media segments as a percentage of total revenue has from Year 1 to Year 3. The offsetting gains came from two-percentage point gains from from Year 1 to Year 3. Thus, there was slight adjustment in the relative segment sales between Year 1 and Year 3.

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C. Prepare a horizontal analysis of the segment sales between Year 1 and Year 3. Round percentages to nearest whole percent.
Amount Change
% Change
Segment
Year 3
Year 1
Media Networks
$23,689 $21,152
Parks and Resorts
16,974
15,099
Studio Entertainment
9,441
7,278
Consumer Products & Interactive Media
5,528
5,284
$55,632 $48,813
Total
d. Which segment showed the largest growth?
Which segment showed the smallest growth?
%24
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C. Prepare a horizontal analysis of the segment sales between Year 1 and Year 3. Round percentages to nearest whole percent. Amount Change % Change Segment Year 3 Year 1 Media Networks $23,689 $21,152 Parks and Resorts 16,974 15,099 Studio Entertainment 9,441 7,278 Consumer Products & Interactive Media 5,528 5,284 $55,632 $48,813 Total d. Which segment showed the largest growth? Which segment showed the smallest growth? %24

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Expert Answer

Step 1

a. Vertical analysis of the segment sales to total sales for year 1 and year 3 is prepared as follows:

 

Accounting homework question answer, step 1, image 1

Ending results are as follows:

Accounting homework question answer, step 1, image 2

b. The revenues of Parks and Resorts and Consumer Products & Interactive Media segments as a percentage of total revenue has decreased from year 1 to year 3. The offsetting gains came from two-percentage point gains from Studio Entertainment from year 1 to year 3. Thus, there was a slight adjustment in the relative segment sales between year 1 and...

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