1 Category Prior Year Current Year Accounts payable Accounts receivable 320,715 397,400 Accruals 40,500 33,750 Additional paid in capital 500,000 541,650 Cash 17,500 47,500 Common Stock 94,000 105,000 COGS 328,500 431,366 00 Current portion long term debt 33,750 35,000 Depreciation expense 54,000 54,370 00 Interest expense 40,500 42,741 00 Inventories 279,000 288,000 Long term debt 336,488 00 401,043 00 Net fixed assets 946,535 999,000 Notes payable 148,500 162,000 Operating expenses (excl depr ) 126,000 162,613 00 Retained earnings 306,000 342,000 Sales 639,000 851,431 00 Taxes 24,750 48,409 00 What is the firm's current year net profit margin 2 Category Prior Year Current Year Accounts payable Accounts receivable 320,715 397,400 Accruals 40,500 33,750 Additional paid in capital 500,000 541,650 Cash 17,500 47,500 Common Stock 94,000 105,000 COGS 328,500 431,366 00 Current portion long term debt 33,750 35,000 Depreciation expense 54,000 54,370 00 Interest expense 40,500 42,741 00 Inventories 279,000 288,000 Long term debt 336,488 00 401,043 00 Net fixed assets 946,535 999,000 Notes payable 148,500 162,000 Operating expenses (excl depr ) 126,000 162,613 00 Retained earnings 306,000 342,000 Sales 639,000 851,431 00 Taxes 24,750 48,409 00 What is the firm's net income for the current year 3 Category Prior Year Current Year Accounts payable Accounts receivable 320,715 397,400 Accruals 40,500 33,750 Additional paid in capital 500,000 541,650 Cash 17,500 47,500 Common Stock 94,000 105,000 COGS 328,500 431,366 00 Current portion long term debt 33,750 35,000 Depreciation expense 54,000 54,370 00 Interest expense 40,500 42,741 00 Inventories 279,000 288,000 Long term debt 336,488 00 401,043 00 Net fixed assets 946,535 999,000 Notes payable 148,500 162,000 Operating expenses (excl depr ) 126,000 162,613 00 Retained earnings 306,000 342,000 Sales 639,000 851,431 00 Taxes 24,750 48,409 00 What is the firm's current year operating profit margin 4 Category Prior Year Current Year Accounts payable Accounts receivable 320,715 397,400 Accruals 40,500 33,750 Additional paid in capital 500,000 541,650 Cash 17,500 47,500 Common Stock 94,000 105,000 COGS 328,500 431,366 00 Current portion long term debt 33,750 35,000 Depreciation expense 54,000 54,370 00 Interest expense 40,500 42,741 00 Inventories 279,000 288,000 Long term debt 336,488 00 401,043 00 Net fixed assets 946,535 999,000 Notes payable 148,500 162,000 Operating expenses (excl depr ) 126,000 162,613 00 Retained earnings 306,000 342,000 Sales 639,000 851,431 00 Taxes 24,750 48,409 00 What is the firm's current year gross profit margin 5 Category Prior Year Current Year Accounts payable Accounts receivable 320,715 397,400 Accruals 40,500 33,750 Additional paid in capital 500,000 541,650 Cash 17,500 47,500 Common Stock 94,000 105,000 COGS 328,500 431,366 00 Current portion long term debt 33,750 35,000 Depreciation expense 54,000 54,370 00 Interest expense 40,500 42,741 00 Inventories 279,000 288,000 Long term debt 336,488 00 401,043 00 Net fixed assets 946,535 999,000 Notes payable 148,500 162,000 Operating expenses (excl depr ) 126,000 162,613 00 Retained earnings 306,000 342,000 Sales 639,000 851,431 00 Taxes 24,750 48,409 00 What is the entry for the current year's interest expense on a common sized income statement

The Answer is in the image, click to view ...

Question: 1. Category Prior Year Current Year Accounts payable ??? ??? Accounts receivable 320,715 397,400 Accruals 40,500 33,750 Additional paid in capital 500,000 541,650 Cash 17,500

Category	Prior Year	Current Year
Accounts payable	???	???
Accounts receivable	320,715	397,400
Accruals	40,500	33,750
Additional paid in capital	500,000	541,650
Cash	17,500	47,500
Common Stock	94,000	105,000
COGS	328,500	431,366.00
Current portion long-term debt	33,750	35,000
Depreciation expense	54,000	54,370.00
Interest expense	40,500	42,741.00
Inventories	279,000	288,000
Long-term debt	336,488.00	401,043.00
Net fixed assets	946,535	999,000
Notes payable	148,500	162,000
Operating expenses (excl. depr.)	126,000	162,613.00
Retained earnings	306,000	342,000
Sales	639,000	851,431.00
Taxes	24,750	48,409.00

What is the firm's current year net profit margin?

Category	Prior Year	Current Year
Accounts payable	???	???
Accounts receivable	320,715	397,400
Accruals	40,500	33,750
Additional paid in capital	500,000	541,650
Cash	17,500	47,500
Common Stock	94,000	105,000
COGS	328,500	431,366.00
Current portion long-term debt	33,750	35,000
Depreciation expense	54,000	54,370.00
Interest expense	40,500	42,741.00
Inventories	279,000	288,000
Long-term debt	336,488.00	401,043.00
Net fixed assets	946,535	999,000
Notes payable	148,500	162,000
Operating expenses (excl. depr.)	126,000	162,613.00
Retained earnings	306,000	342,000
Sales	639,000	851,431.00
Taxes	24,750	48,409.00

What is the firm's net income for the current year?

Category	Prior Year	Current Year
Accounts payable	???	???
Accounts receivable	320,715	397,400
Accruals	40,500	33,750
Additional paid in capital	500,000	541,650
Cash	17,500	47,500
Common Stock	94,000	105,000
COGS	328,500	431,366.00
Current portion long-term debt	33,750	35,000
Depreciation expense	54,000	54,370.00
Interest expense	40,500	42,741.00
Inventories	279,000	288,000
Long-term debt	336,488.00	401,043.00
Net fixed assets	946,535	999,000
Notes payable	148,500	162,000
Operating expenses (excl. depr.)	126,000	162,613.00
Retained earnings	306,000	342,000
Sales	639,000	851,431.00
Taxes	24,750	48,409.00

What is the firm's current year operating profit margin?

Category	Prior Year	Current Year
Accounts payable	???	???
Accounts receivable	320,715	397,400
Accruals	40,500	33,750
Additional paid in capital	500,000	541,650
Cash	17,500	47,500
Common Stock	94,000	105,000
COGS	328,500	431,366.00
Current portion long-term debt	33,750	35,000
Depreciation expense	54,000	54,370.00
Interest expense	40,500	42,741.00
Inventories	279,000	288,000
Long-term debt	336,488.00	401,043.00
Net fixed assets	946,535	999,000
Notes payable	148,500	162,000
Operating expenses (excl. depr.)	126,000	162,613.00
Retained earnings	306,000	342,000
Sales	639,000	851,431.00
Taxes	24,750	48,409.00

What is the firm's current year gross profit margin?

Category	Prior Year	Current Year
Accounts payable	???	???
Accounts receivable	320,715	397,400
Accruals	40,500	33,750
Additional paid in capital	500,000	541,650
Cash	17,500	47,500
Common Stock	94,000	105,000
COGS	328,500	431,366.00
Current portion long-term debt	33,750	35,000
Depreciation expense	54,000	54,370.00
Interest expense	40,500	42,741.00
Inventories	279,000	288,000
Long-term debt	336,488.00	401,043.00
Net fixed assets	946,535	999,000
Notes payable	148,500	162,000
Operating expenses (excl. depr.)	126,000	162,613.00
Retained earnings	306,000	342,000
Sales	639,000	851,431.00
Taxes	24,750	48,409.00

What is the entry for the current year's interest expense on a common-sized income statement?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

1. Calculate the cost of each capital component, after-tax cost of debt, cost of preferred, and cost of equity with the DCF method and CAPM method. 2. What do you estimate the company?s WACC? Please...

I need help with this budget assignment, I have attached the instructions BUSI 523 BUDGET PROPOSAL INSTRUCTIONS Instructions: Complete each part of the following Case Study. You will need to use...

Accounting Starbucks You are to submit an individual one to two-page report answering the following from an accounting perspective, not a marketing/management perspective: You are required to: 1. Of...

Healthcare Budget Project. Please see attached instructions BUSI 523 BUDGET PROJECT GRADING RUBRIC Criteria Part 1: Financial Statement Analysis Part 1: Financial Statement Analysis Part 2: Budget...

Atlantic Corporation-Abridged and Royal Paper Corporation, respectively, met over lunch to discuss a possible cash sale of a group On April 10, 1984, Patrick Halloran and Steven Winters, chairman of...

Perform a cash flow analysis for Cintas Corporation and provide a valuation of the company? Explain the rationale behind the valuation. Is Cintas Corporation a buy or sell recommendation? FinsAS...

As you are aware, Medical Associates has achieved its targeted utilization and financial projections for ambulatory surgery in Jasper. It is now time to consider a similar service at our offices in...

I am unsure how to fill out the charts please help. The first 6 charts. Wherever there are green boxes is where numbers are inserted. The reat of the charts are there to help. Please let me know if...

I need help with round 1 of CAPSIM COMP-Xm exam. Round 0 Inquirer Research & Development DRAFT SAVED AT Apr 11, 2020 10 CAM MOT Perceptual map ( end of this year) Decisions Name New Pfmn New Size...

Sample Answer Sheet 2018 2019 2020 Current Ratio Company A Industry Average Total Debt Ratio Company A Industry Average Debt-to-Equity Company Industry Average Asset Turnover Company A Industry...

1 Tick the correct statement regarding the point of inflection of f(x) x2 +1 O f(x) has no inflection point. O f(x) has inflection points at x + 1 1 f(x) has inflection points at x = + %3D none of...

The Delta Chemical Corporation is expected to have the capital structure for the foreseeable future as given in Table P15.10. The flotation costs are already included in each cost component. The...

Suppose a family member approaches you to borrow $ 2 , 0 0 0 for the down payment on an automobile. You have the cash available in a savings account that currently earns 5 % annual interest. You and...

Draw a class diagram and its relationship based on the following statements. You can use any UML tool/software to represent your class diagram. Do NOT copy and paste your diagram, use the attachment...