Chapter 15, Problem 9CR

BuyFind*arrow_forward*

8th Edition

Robert Brechner + 1 other

ISBN: 9781305585447

Textbook Problem

In vertical analysis of an income statement, each figure on the statement is expressed as a percent of _____ _____. (15-5)

To determine

**To fill:** The blanks provided for the statement, “In a vertical analysis of an income statement, each figure on the statement is expressed as a percent of ________.”

Explanation

Consider the given information is based on the vertical analysis.

Income statement specifies the information in regard to the profit earned or loss occurred, during a period of time. Even, it enables an organization to compare information about one or more periods. It is also known as a profit or loss account.

In a vertical balance sheet, every item that is displayed is the relative size of the different accounts. It is used to describe each item that is listed in the balance sheet is a percentage of total assets. It is expressed as a percent of net sales

The net sales is computed by adding gross margin by cost of goods sold.

For example, consider gross margin is

Sect-15.I P-1TIESect-15.I P-2TIESect-15.I P-3TIESect-15.I P-1RESect-15.I P-2RESect-15.I P-3RESect-15.I P-4RESect-15.I P-5RESect-15.I P-6RESect-15.I P-7RE

Sect-15.I P-8RESect-15.I P-9RESect-15.I P-10RESect-15.I P-11RESect-15.I P-12RESect-15.I P-13RESect-15.I P-14RESect-15.I P-15RESect-15.I P-16RESect-15.I P-17RESect-15.I P-18RESect-15.I P-19RESect-15.I P-20RESect-15.I P-21RESect-15.I P-22RESect-15.I P-23RESect-15.I P-24RESect-15.I P-25RESect-15.I P-26RESect-15.I P-27RESect-15.I P-28RESect-15.I P-29RESect-15.I P-30RESect-15.I P-31RESect-15.I P-32RESect-15.I P-33RESect-15.I P-34RESect-15.I P-35RESect-15.II P-4TIESect-15.II P-5TIESect-15.II P-6TIESect-15.II P-1RESect-15.II P-2RESect-15.II P-3RESect-15.II P-4RESect-15.II P-5RESect-15.II P-6RESect-15.II P-7RESect-15.II P-8RESect-15.II P-9RESect-15.II P-10RESect-15.II P-11RESect-15.II P-12RESect-15.II P-13RESect-15.II P-14RESect-15.II P-15RESect-15.III P-7TIESect-15.III P-8TIESect-15.III P-1RESect-15.III P-2RESect-15.III P-3RESect-15.III P-4RESect-15.III P-5RESect-15.III P-6RESect-15.III P-7RESect-15.III P-8RESect-15.III P-9RESect-15.III P-10RESect-15.III P-11RESect-15.III P-12RESect-15.III P-13RESect-15.III P-14RESect-15.III P-15RESect-15.III P-16RESect-15.III P-17RESect-15.III P-18RESect-15.III P-19RESect-15.III P-20RESect-15.III P-21RESect-15.III P-22RESect-15.III P-23RESect-15.III P-24RESect-15.III P-25RESect-15.III P-26RESect-15.III P-27RESect-15.III P-28RESect-15.III P-29RESect-15.III P-30RESect-15.III P-31RESect-15.III P-32RESect-15.III P-33RECh-15 P-1CRCh-15 P-2CRCh-15 P-3CRCh-15 P-4CRCh-15 P-5CRCh-15 P-6CRCh-15 P-7CRCh-15 P-8CRCh-15 P-9CRCh-15 P-10CRCh-15 P-11CRCh-15 P-12CRCh-15 P-13CRCh-15 P-14CRCh-15 P-1ATCh-15 P-2ATCh-15 P-3ATCh-15 P-4ATCh-15 P-5ATCh-15 P-6ATCh-15 P-7ATCh-15 P-8ATCh-15 P-9ATCh-15 P-10ATCh-15 P-11ATCh-15 P-12ATCh-15 P-13ATCh-15 P-14ATCh-15 P-15ATCh-15 P-16ATCh-15 P-17ATCh-15 P-18ATCh-15 P-19ATCh-15 P-20ATCh-15 P-21ATCh-15 P-22ATCh-15 P-23ATCh-15 P-24AT

Calculus: Early Transcendental Functions

Mathematical Applications for the Management, Life, and Social Sciences

Single Variable Calculus: Early Transcendentals, Volume I

Calculus: An Applied Approach (MindTap Course List)

Understanding Basic Statistics

Calculus: Early Transcendentals

Calculus (MindTap Course List)

Statistics for The Behavioral Sciences (MindTap Course List)

Elementary Geometry For College Students, 7e

Elementary Technical Mathematics

Applied Calculus for the Managerial, Life, and Social Sciences: A Brief Approach

Single Variable Calculus

Finite Mathematics

Essentials Of Statistics

Precalculus: Mathematics for Calculus (Standalone Book)

Probability and Statistics for Engineering and the Sciences

Multivariable Calculus

Finite Mathematics and Applied Calculus (MindTap Course List)

Mathematical Excursions (MindTap Course List)

Essentials of Statistics for The Behavioral Sciences (MindTap Course List)

Intermediate Algebra

Calculus: Early Transcendental Functions (MindTap Course List)

Trigonometry (MindTap Course List)

Elements Of Modern Algebra

Calculus of a Single Variable

Single Variable Calculus: Early Transcendentals

Study Guide for Stewart's Single Variable Calculus: Early Transcendentals, 8th

Finite Mathematics for the Managerial, Life, and Social Sciences

Elementary Geometry for College Students

Study Guide for Stewart's Multivariable Calculus, 8th

Calculus (MindTap Course List)

College Algebra (MindTap Course List)

Research Methods for the Behavioral Sciences (MindTap Course List)

Multivariable Calculus

Mathematics For Machine Technology

Introduction To Statistics And Data Analysis

Research Methods for the Behavioral Sciences (MindTap Course List)

STATISTICS F/BUSINESS+ECONOMICS-TEXT

Statistics for Business & Economics, Revised (MindTap Course List)