To calculate: The net sales, cost of goods sold and net income and also complete the horizontal analysis of the comparative balance sheet provided below,
Income statement |
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|
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|
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Increase/decrease |
|
Revenue |
2016($) |
2015($) |
Amount |
Percent |
Total sales |
219,827 |
205,852 |
|
|
Sales return and allowance |
8,512 |
7,983 |
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|
Net sales |
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Cost of goods sold |
|
|
|
|
Beginning inventory on January 1 |
42,816 |
40,512 |
|
|
Purchases |
97,523 |
94,812 |
|
|
Ending inventory, December 31 |
43,182 |
42,521 |
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Cost of goods sold |
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Gross profit from sales |
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Operating expenses |
|
|
|
|
Salary |
28,940 |
27,000 |
|
|
Insurance |
800 |
750 |
|
|
Utilities |
1,700 |
1,580 |
|
|
Rent |
3,600 |
3,000 |
|
|
Depreciation |
2,000 |
2,400 |
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Total operating expenses |
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Net income |
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