Accounting Answers

A. Choose the letter that corresponds to the correct answer.

1.) This transforms financial statement data into information qhich is interpreted and used as basis for better economic decisions and actions.

A. Financial Statement technique

B. Financial Statement comparison

C. Financial statement evaluation

D. Financial statement analysis

2.) The other term for horizontal analysis.

A. Change Analysis

B. Trend analysis

C. Total Analysis

D. Time Analysis

A. Perform Vertical SCI Analysis for 2020 Statement of Financial Performance.

-Net Sales - 1,687,500

-Cost of Sales - 1,046,250

-Selling Expenses - 270,000

-Administrative Expenses - 135,000

-Interest Expense - 74,250

-Net Income - 162,000

A. Perform Horizontal SCI Analysis for 2020 uaing 2019 as base year.

1. What is the Peso Change and % Change if in 2020 the net sales is 1,687,500 while in 2019, the net sales is 1,350,000?

2. What is the Peso Change and % Change if in 2020 the Cost of Sales is 1,046,250 while in 2019, the Cost of Sales is 877,500?

3. What is the Peso Change and % Change if in 2020 the Selling Expenses is 270,000 while in 2019, the Selling Expenses is 162,000?

4. What is the Peso Change and % Change if in 2020 the Administrative Expenses is 135,000 while in 2019, the Administrative Expenses is 121,500?

5. What is the Peso Change and % Change if in 2020 the Interest Expense is 74,250 while in 2019, the Interest Expense is 54,000?

6. What is the Peso Change and % Change if in 2020 the Net Income is 162,000 while in 2019, the Net Income is 135,000?

A. Perform Vertical SFP Analysis for 2020 Statement of Financial Position.

-Current Assets - 250,000

-Property, Plant and Equipment - 792,000

-Current Liabilities - 182,000

-Long Term Debts - 266,000

-Owner's Capital - 594,000

A. Perform Horizontal SFP analysis for 2020 using 2019 as base year. The aggregated Financial Statement of CocoMelon Company is presented below:

1. What is the Peso Change and % Change of Current Assets if in 2020 there is 250,000 and in 2019 there is 200,000?

2. What is the Peso Change and % Change of Property, Plant and Equipment if in 2020 there is 792,000 and in 2019 there is 660,000?

3. What is the Peso Change and % Change of Current Liabilities if in 2020 there is182,000 and in 2019 there is 140,000?

4. What is the Peso Change and % Change of Long-term Debts if in 2020 there is 266,000 and in 2019 there is 190,000?

5. What is the Peso Change and % Change of Owner's Capital if in 2020 there is 594,000 and in 2019 there is 530,000?

1.     Suppose a firm sells good X in a perfectly competitive market its per unit price is 11 birr and the total cost of producing good X is given by TC = 1/3Q³ – 3Q² 20Q + 100, then answer the following questions.

a)     What is average variable cost when Q=5

b)     What is the total fixed cost when Q=0

c)     What is marginal cost when Q=6

1.     Suppose a firm sells good X in a perfectly competitive market its per unit price is 11 birr and the total cost of producing good X is given by TC = 1/3Q³ – 3Q² 20Q + 100, then answer the following questions.

Directions: Research on the following financial analysis tools and give examples:

1. Horizontal Analysis of FS

X, a non-Government employee, receives Rs. 3,06,000 as leave salary at the time of retirement on February 20, 2021. On the basis of the following information, determine the amount of taxable leave salary: Basic pay: Rs. 18,000 per month since 2013; duration of service: 32 years; leave at the credit of X at the time of retirement: 17 months ; entitlement of leave salary: 45 days' salary for every year of service and leave availed while in service: 31 months.