Data for Mariner Designs, Inc. follow: EEB (Click the icon to view the data.) Re
ID: 2430402 • Letter: D
Question
Data for Mariner Designs, Inc. follow: EEB (Click the icon to view the data.) Read the requirements. Requirement 1. Prepare a comparative common-size income statement for Mariner Designs, Inc. using the 2018 and 2017 data. Round percentages to one-tenth percent. (Round the percentages to one-tenth percent, X.X%.) Mariner Designs, Inc. Common-Size Income Statement Years Ended December 31, 2018 and 2017 iData Table 2018 2017 Mariner Designs, Inc. Comparative Income Statement Years Ended December 31, 2018 and 2017 Net Sales Revenue Expenses Cost of Goods Sold Selling and Administrative Expenses Other Expenses Total Expenses 2018 2017 Net Sales Revenue $ 430,000 S 375,000 Expenses: Cost of Goods Sold Selling and Administrative Expenses Other Expenses Total Expenses 201,550 188,000 99,350 93,000 6,000 307,900 287,000 $122,100 S 88,000 Net Income 7,000 Requirements Net Income 1. Prepare a comparative common-size income statement for Mariner Designs, Inc. using the 2018 and 2017 data. Round percentages to one-tenth percent. 2. To an investor, how does 2018 compare with 2017? Explain your reasoning. PrintDone Check AnswerExplanation / Answer
Mariner designs inc
Common size statement
Year ended December 31, 2018 and 2017
2018
2017
Net sales Revenue
100%
100%
Expenses:
Cost of goods sold
46.9%
=201550/430000
50.1%
=188000/375000
Selling and administrative expense
23.1%
=99350/430000
24.8%
=93000/375000
Other expenses
1.6%
=7000/430000
1.6%
=6000/375000
Total Expenses
71.6%
=307900/430000
76.5%
=287000/375000
Net income
28.4%
=122100/430000
23.5%
=88000/375000
Mariner designs inc
Common size statement
Year ended December 31, 2018 and 2017
2018
2017
Net sales Revenue
100%
100%
Expenses:
Cost of goods sold
46.9%
=201550/430000
50.1%
=188000/375000
Selling and administrative expense
23.1%
=99350/430000
24.8%
=93000/375000
Other expenses
1.6%
=7000/430000
1.6%
=6000/375000
Total Expenses
71.6%
=307900/430000
76.5%
=287000/375000
Net income
28.4%
=122100/430000
23.5%
=88000/375000
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