The following is the income statement for Nikov and Co. for the year ended 31 December 2021,
Question:
The following is the income statement for Nikov and Co. for the year ended 31 December 2021, along with information relating to the preceding year.
Required:
Analyse the performance of the business for the year to 31 December 2021 in so far as the information allows.
Transcribed Image Text:
Income statement for the year ended 31 December 2021 2020 000 000 Sales revenue 420.2 382.5 Cost of sales (126.1) (114.8) Gross profit 294.1 267.7 Salaries and wages (92.6) (86.4) Selling and distribution costs (98.9) (75.4) Rent and rates (22.0) (22.0) Irrecoverable debts written off (19.7) (4.0) Telephone and postage (4.8) (4.4) Insurance (2.9) (2.8) Motor vehicle expenses (10.3) (8.6) Depreciation-delivery van (3.1) (3.3) - fixtures and fittings (4.3) (4.5) Operating profit 35.5 56.3 Loan interest (4.6) (5.4) Profit for the year 30.9 50.9
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (QA)
An examination of the income statements for the two years reveals a number of interesting points inc...View the full answer
Answered By
Utsab mitra
I have the expertise to deliver these subjects to college and higher-level students. The services would involve only solving assignments, homework help, and others.
I have experience in delivering these subjects for the last 6 years on a freelancing basis in different companies around the globe. I am CMA certified and CGMA UK. I have professional experience of 18 years in the industry involved in the manufacturing company and IT implementation experience of over 12 years.
I have delivered this help to students effortlessly, which is essential to give the students a good grade in their studies.
3.50+
2+ Reviews
10+ Question Solved
Related Book For
Financial Accounting For Decision Makers
ISBN: 9781292409184
10th Edition
Authors: Peter Atrill, Eddie McLaney
Question Posted:
Students also viewed these Business questions
-
The following is the income statement for Nikov and Co. for the year ended 31 December 2009, along with information relating to the preceding year. Required: Analyse the performance of the business...
-
The following is the income statement for Nikov and Co. for the year ended 31 December 2014, along with information relating to the preceding year. Income statement for the year ended 31 December...
-
The following is the income statement for Nikov and Co. for the year ended 31 December 2018, along with information relating to the preceding year. Required: Analyse the performance of the business...
-
In Exercises, find the limit. x-4 lim x-00x + 1
-
How are direct-mail sales messages and e-mail sales messages similar, and how are they different?
-
Which of the following best describes the level of measurement of the earthquake depths described in Exercise 3: nominal, ordinal, interval, ratio? Exercise 3 In a test of the Atkins weight loss...
-
What do you know about the mathematical value of the annual worth of a project under each of the following conditions? a. The present worth of the project is greater than 0 . b. The present worth of...
-
The adjusted trial balance columns of the worksheet for Thao Company, owned by D. Thao, are as follows. Instructions (a) Complete the worksheet by extending the balances to the financial statement...
-
The KLM Partnership, which uses the accrual method of accounting, is owned equally by Karen ( cash method taxpayer ) , and LM corporation ( accrual method taxpayer ) . Karen is a real estate...
-
Iqbal Ltd started trading on 1 July 2016. During the first five years of trading, the following occurred: Required: Assume that the company paid the maximum legal dividend each year. Under normal...
-
Singh Enterprises, which started business on 1 January 2019, has a reporting period to 31 December and uses the straight-line method of depreciation. On 1 January 2019, the business bought a machine...
-
1. What are the companies mentioned in the case trying to control, or manage, through these projects? What is the problem? And how did they get there? 2. What are the business benefits of...
-
Data on cost objects and cost drivers must be: Question 9 options: Accurate and comprehensive. Comprehensive and efficient. Clean and consistent. Clean and understandable. Consistent and accurate.
-
Enron and WorldCom in 2001 (Accounting Frauds) are good examples of opportunity cost. ii. Minimizing operational costs cannot be a corporate goal. ili. Maximizing firm value is typically the top...
-
DEFINE THE FOLLOWING KEY TERMS 1. CIT ( CRISIS INTERVENTION TEAMS ) 2. POLICING GOALS 3. MISSION STATEMENT 4. VALUES 5. POLICY 6. INTERIM ORDER 7. ORGANIZATIONAL CHART 8. HIERARCHY 9. GENERALIST 10....
-
When payments are made at the beginning of a lease period in a finance lease, the lessee Multiple choice question. reduces the lease obligation for the full amount of the first payment. computes...
-
Identifying the beneficial owner of all assets, tracing the transmission of assets and reporting suspicious transactions are all goals of: Select one: a. anti-embezzlement measures b. anti-fraud...
-
Calculate the mass of sample of pure 40/19K with an initial decay rate of 2.0 x 105s 1. The half-life of 40/19K is 1.28 X 109yr.
-
Suppose a population of bacteria doubles every hour, but that 1.0 x 106 individuals are removed before reproduction to be converted into valuable biological by-products. Suppose the population begins...
-
What is the point of distinguishing direct cost from indirect cost? Why is this not necessary in process costing environments?
-
Are direct cost and variable cost the same thing? Explain your answer.
-
It is sometimes claimed that the full cost of a product or service reflects the break-even selling price. Why is this said and what does it mean?
-
How can performance management processes be tailored to accommodate diverse workforce demographics and individual preferences?
-
When John walked into the math teachers laboratory, Aba was thinking about her upcoming unit on fraction computation and the changes this year she wanted to make in assessing student learning. She...
-
1. The gross weekly sales at a certain restaurant are a normal random variable with mean $12,500 and standard deviation $2,000. Assume that the gross sales of each week are independent. What is the...
Study smarter with the SolutionInn App