Data for Verne Desias Inc olow DataTatle EEB Click the icon

Data for Verne Desias, Inc. olow DataTatle EEB Click the icon to view the data. RAad tha raquramant Raqu remant 1 Prapra a co narathe common stze Incoma statement or var ne Verifinc Designs, Inc. Comparative Income Statement Years Ended December 31, 2018 and 2017 asigns ne us g the 2014 and 2017 data Rauna percenta es to ona-enth parca ound parcar tagas to one arth parent X % Veritine Dasigns, In. Common-Siza Incomme Statamant 2018 2017 Years Ended Dacamher 11, 2018 and 2017 4313505 2013 2017 Expansas Coat af Goods Scld Scling and Administrathre Expencs Other Expenses Total Expanss 200 000 10,000 100,000 95,350 2500 308.360 285,850 5 177900 $ 86,10 Net Salas RAvANUS Expansas 2 3650 Cast of Goods Sald Seling and Ndministrative Expenscs Other Experees Total Expanscs Net Incorme Net Incume Requirement 2. To an investor, howr docs 2010 compare with 2017? Explain your reasoning An inesor would bo PrintDone ? with 2018 in comparison with 2017 osto co s sold and seling and genera expenses the two largest expenses consuma ? percentages of net revenue in 2018 and net income represents a percentage on revenues Overal, pron s ac

Solution

Varitiline Design Inc. Common Size Income Statement Year Ended Decemebr 31, 2018 and 2017 2018 % 2017 % Net sales $431,250 100% 372,000 100% Cost of goods sold 200,000 46% 188,000 51% Selling & administrative Expense 100,000 23% 95,350 26% Other expenses 8,350 2% 2,500 1% Total Expense 308,350 72% 285,850 77% Net income $122,900 28% 86,150 23% Requirement -2 An Investor would in more Profit with 2018 in Comparison with 2017. Cost of Goods Sold and Selling and general Expense - the largest two expense consumed 70% of net revenue in 2018 and net income represent 28% percentage of revenue, Overall Profit are $122900