Project: Income Statement
Respond to one or more question(s) from each of the three categories below.
Category: Revenue and Net Income
1. What was the corporation’s net sales, cost of goods sold, and gross profit?
2. What was the corporate tax rate? [Hint: divide income tax expense by income before income taxes]
3. What was the corporation’s net interest expense?
Category: Comprehensive Income
1. What is the account and amount of the top line item on the Statement (or Consolidated Statement) of Comprehensive Income?
2. What items appear under “Other Comprehensive Income (Loss)”?
3. What is the account and the amount of the bottom line item on the Statement (or Consolidated Statement) of Comprehensive Income?
Category: Analysis
1. Calculate the following ratios for the most recent year, and interpret/comment on what those results of your ratio analysis indicate about the financial aspect measured. Show your calculations.
a. Gross profit margin
b. Net profit margin
c. Times interest earned
