Question: Consider the financial performance comparisons shown. Provide an analysis (120 to 150 words) to describe the comparisons. KLM Company Comparison of financial performance 2012 and
Consider the financial performance comparisons shown. Provide an analysis (120 to 150 words) to describe the comparisons.
| KLM Company Comparison of financial performance 2012 and 2013 | ||||||
|---|---|---|---|---|---|---|
| Account | 2012 | 2013 | $ Difference | Per Cent | Common Size (per cent of sales income) | |
| 2012 | 2013 | |||||
| Sales Income | $230,000 | $320,000 | $90,000 | 39 | 100 | 100 |
| Cost of Sales | $115,000 | $165,000 | $50,000 | 43 | 50 | 51.6 |
| Wage Costs | $30,000 | $45,000 | $15,000 | 50 | 13 | 14 |
| Transport Costs | $25,000 | $35,000 | $10,000 | 40 | 10.9 | 10.9 |
| Marketing Costs | $15,000 | $20,000 | $5,000 | 33 | 6.5 | 6.3 |
| Total Costs | $185,000 | $265,000 | $80,000 | 43 | 80.4 | 82.8 |
| Profit | $45,000 | $55,000 | $10,000 | 22 | 19.6 | 17.2 |
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