Prepare an income statement and a balance sheet for the coffee hut for a future year. Then
Question:
Prepare an income statement and a balance sheet for the coffee hut for a future year. Then you will various ratio analyses, and a contribution margin analyses to see how sues business is doing.
The template includes all the data necessary to complete the two financial statements, and ratio analyses. but the financial statement data is in random order, so you must determine where in each financial statement the items should be placed> complete the income statement fist since the income will affect the stockholders equity on the balance sheet note that you need to calculate cost of goods sold for the income statement next complete the balance sheet taking into account the effect the net income has on stock holders equity make sure the balance sheet meets the accounting equation now you can complete you?re ratio analyses. after completing the ratios add a brief analyses about what each ratio means for the coffee huts financial position and results of operations> the final step is to complete the contribution margin question. if the goods sold is the only variable cost and the contribution margin per drink is $3.40, how many coffee drinks did the coffee hut sell? What was the average selling price?