Best Buy and Circuit City sell consumer electronics in their retail outlets and online stores. Required 1.
Question:
Best Buy and Circuit City sell consumer electronics in their retail outlets and online stores.
Required
1. Identify the major revenue and expense accounts you would expect to see reported by Best Buy and Circuit City (you might review their financial statements in Appendix A for general categories).
2. Do you expect any differences in major revenue and expense accounts between these two companies?Identify them, if any.
Appendix A:
Transcribed Image Text:
Five-Year Financial Highlights $ in millions, except per share amounts Fiscal Year Consolidated Statements of Earnings Data Revenue Operating income Earnings from continuing operations Loss from discontinued operations, net of fax 2005 2004 2003 2002 2001 $27,433 $24,548 1,442 1,304 934 800 $20,943 1,010 622 $17,711 $15,189 908 611 570 401 (29) (441) (5) Gain (loss) on disposal of discontinued operations, net of tax 50 (66) Cumulative effect of change in accounting principles, net of tax (82) Net earnings 984 705 99 570 118 396 Per Share Data Continuing operations $2.79 $2.41 $1.90 $1.77 $1.26 Discontinued operations (0.09) (1.34) (0.02) Gain (loss) on disposal of discontinued operations 0.15 (0.20) Cumulative effect of accounting changes (0.25) Net earnings 2.94 2.13 0.31 1.77 Cash dividends declared and paid 0.42 0.40 TIRI 1.24 1121 Common stock price: High 62.20 62.70 53.75 51.47 59.25 Low 43.87 25.55 16.99 22.42 14.00 Operating Statistics Comparable store sales change 4.3% 7.1% 2.4% 1.9% 4.9% Gross profit rate 23.7% 23.9% 23.6% 20.0% 18.5% Selling, general and administrative expense 18.4% rate 18.6% 18.8% 14.9% 14.5% Operating income rate 5.3% 5.3% 4.8% 5.1% 4.0% Year-End Data Current ratio 1.4 1.3 1.3 1.2 Total assets $10,294 $8,652 $7,694 $7,367 1.1 $4,840 Long term debt, including current portion 600 850 834 820 Total shareholders' equity 4,449 3,422 2,730 2,521 296 1,822 Number of stores U.S. Best Buy stores 668 608 548 481 419 Magnolia Audio Video stores 20 22 19. 13 13 International stores 144 127 112 95 Total retail square footage (000s)) U.S. Best Buy stores 28,260 Magnolia Audio Video stores. International stores 194 3,139 26,421 218 24,243 21,599 19,010 2,800 189 2,375 133 133 1,923
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 0% (1 review)
Answered By
Akshay Agarwal
I am a Post-Graduate with a specialization in Finance. I have been working in the Consulting industry for the past 8 years with a focus on the Corporate and Investment Banking domain. Additionally, I have been involved in supporting student across the globe in their academic assignments and always strive to provide high quality support in a timely manner. My notable achievements in the academic field includes serving more than 10,000 clients across geographies on various courses including Accountancy, Finance, Management among other subjects. I always strive to serve my clients in the best possible way ensuring high quality and well explained solutions, which ensures high grades for the students along-with ensuring complete understanding of the subject matter for them. Further, I also believe in making myself available to the students for any follow-ups and ensures complete support and cooperation throughout the project cycle. My passion in the academic field coupled with my educational qualification and industry experience has proved to be instrumental in my success and has helped me stand out of the rest. Looking forward to have a fruitful experience and a cordial working relationship.
5.00+
179+ Reviews
294+ Question Solved
Related Book For
College Accounting Ch 1-14
ISBN: 9781260904314
1st Edition
Authors: John Wild, Vernon Richardson, Ken Shaw
Question Posted:
Students also viewed these Business questions
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
Describe how to construct the function cpo ((D E), v) of two cpos (D, vD) and (E, vE). Prove that ((D E), v) is a cpo. (You may use facts about least upper bounds provided you state them clearly.)...
-
What is wrong with the following variable declarations? If wrong, explain. If correct (nothing wrong), write "correct". double 1st_var = 10; int var2; int var3 = var2; string name="var3"; double...
-
A metal rod with a diameter of 2.30 cm and length of 1.10 m has one end immersed in ice at 32.0F and the other end in boiling water at 212F. If the ice melts at a rate of 1.32 g every 175 s, what is...
-
An assistant to Stacy gave her the PW values for four alternatives they are comparing for the development of a remote control vibration control system for offshore platform application. The results...
-
Why is the cost of equity for a company with no debt equal to the average weighted cost of capital?
-
1: Using variable elimination (by hand!), compute the probability that a student who did well on the test actually understood the material, that is, compute P(+u| + e). 2: For the above Bayesian...
-
1. Observe the following quadrilaterals. They each have been labeled with a specific name. Determine if the quadrilateral was given the correct name and explain your reasoning below each...
-
Mark Ellingson is an aspiring entrepreneur and your friend. He is having difficulty understanding the link between the general journal and the general ledger. Required Write a half-page memorandum to...
-
Best Buy sells consumer electronics in its retail outlets and from its online stores. Required Based on your understanding of Best Buy, identify at least four types of source documents that Best Buy...
-
The term symbol for the ground state of N 2 + is 2 g + . What is the total spin and total orbital angular momentum of the molecule? Show that the term symbol agrees with the electron configuration...
-
Differentiate between the broad and narrow definitions of forensic psychology. Why is it important to distinguish between these two definitions? Choose two of the forensic psychology subspecialties...
-
Bed & Bath, a retailing company, has two departments, Hardware and Linens. The company?s most recent monthly contribution format income statement follows: Department Sales Total $4,090,000 $3,000,000...
-
2 0 . Given the following: a . Accounts Receivable $ 5 0 0 , 0 0 0 b . Accounts Payable $ 3 0 5 , 0 0 0 c . Inventory $ 2 0 0 , 0 0 0 d...
-
Cost of merchandise sold reported on the income statement was $ 1 6 9 , 1 6 0 . The accounts payable balance increased $ 8 , 6 9 0 , and the inventory balance increased by $ 7 , 4 9 0 over the year....
-
They are seen as time-consuming, demotivating, inaccurate, biased, and unfair. A McKinsey survey indicates most CEOs don't find the appraisal process in their companies helps to identify top...
-
A balanced abc-sequence of voltages feeds a balanced three-phase wye-wye system. The line and load impedance are 0.6 + j0.9 and 8 + j12, respectively. The load voltage on the a phase is VAN = 116.63...
-
What are the four types of poultry production systems? Explain each type.
-
QUESTION 2: Financial Statements (20 marks) Benny Bake owns and operates a bakery called "Yumm". At year end Benny has prepared the following partially completed Trial Balance. Benny knows it is not...
-
Sheffield Corp. issued a $51,000, 3-yaer, 7% note to Jernigan Corp. on January 1, 2023, and received a piece of equipment that normally sells for $43,775. The note requires annual interest payments...
-
Recorded bonuses due to employeesA) Do assets increase, decrease, or is there no effect?B) Do Liabilities increase, decrease, or is there no effect?C) Do Shareholders Equity increase, decrease, or is...
![Mobile App Logo](https://dsd5zvtm8ll6.cloudfront.net/includes/images/mobile/finalLogo.png)
Study smarter with the SolutionInn App