Q Search the web Search the web x M Ch 13 Problems X sno cit

Q Search the web... Search the web.. x M Ch 13 Problem(s) X sno city canvas - Yahc X McGraw-Hill ? Oezto.mheducation.com/h-tpx Problem 13-2A Ratios, co mmon-size statements, and trend percents LO P1, P2, F IThe following information app les to the questions displayed below Selected com parative financial tatements of Korbin Company follow KORBIN COMPANY Comperative Income Statements For Years Ended December 31. 2015, 2014, and 2013 2015 2014 2013 Sales 445.233 341035 236,700 214.542 Cost of goods sold 268.030 151.488 Gross profit 177203 63.223 40,071 126,543 47070 85.212 31.244 19.646 Selling expenses Administrative expenses Total expenses Income before taxes 103.294 77085 50.890 49.458 10139 34,322 6,967 Income toxes 3 747 Net income $ 60162 39.319 s 27355 KORBIN COMPANY Comparative Balance Sheets December 31, 2015, 2014, and 2013 2015 2014 2013 Assets

Solution

1 Complete the below table to calculate each year\'s current ratio. Current Ratio Choose Numerator: / Choose Denominator: = Current ratio Current assets / Current liabilities = Current ratio 2015 $49,657 / $20,308 = 2.45 to 1 2014 $38,850 / $20,125 = 1.93 to 1 2013 $1,934 / $19,583 = 0.10 to 1 2 KORBIN COMPANY Common-Size Comparative Income Statements For Years Ended December 31, 2015, 2014, and 2013 2015 2014 2013 Sales 100 445233 100 341085 100 236700 Cost of goods sold 60.20% 268030 62.90% 214542 64.00% 151488 Gross profit 39.80% 177203 37.10% 126543 36.00% 85212 Selling expenses 14.20% 63223 13.80% 47070 13.20% 31244 Administrative expenses 9.00% 40071 8.80% 30015 8.30% 19646 Total expenses 23.20% 103294 22.60% 77085 21.50% 50890 Income before taxes 16.60% 73909 14.50% 49458 14.50% 34322 Income taxes 3.09% 13747 2.97% 10139 2.94% 6967 Net income 13.51% 60162 11.53% 39319 11.56% 27355