Common size and trend percents for Rustynail Company s sales,cost of goods sold,and expenses follow. Common...

Common size and trend percents for Rustynail Company s sales,cost of goods sold,and expenses follow. Common size percents. 2017 sales 100 % 2016 sales 100 %,2015 sales 100 %. Cost of goods sold 2017. 63.1 . 2016 60.9. 2015. 57.4. Total expenses. 2017 , 14.3 , 2016. 13.8. 2015. 14.1
Trend percents. 2017. 2016 2015

sales. 104.5% 103.3 % 100

cost of goods sold 114.9. 109.6. 100

total expenses. 106.1. 101.1. 100

Solutions

Expert Solution

The following are the calculations of the Sales, Costs of Goods Sold and Total Expenses based on the trend percentage and the data of 2015:

Note: Assume 2015 sale $100 because auctul sale 2015 is missing

2016 Sales = $100 x 103.3% = $103.3

2016 Cost of goods sold = $57.4x 109.6% = $62.9104

2016 Total expenses = $14.1x 101.1% = $14.2551

2017 Sales = $100 x 104.4% = $104.4

2017 Cost of goods sold = $57.4x 114.9% = $65.9526

2017 Total expenses = $14.1 x 106.1% = $14.9601

Net Income for the following years are as follows:

	2017	2016	2015
Sales	104.400	103.300	100.000
Cost of goods sold	65.953	62.910	57.400
Total expenses	14.960	14.255	14.100
Net income	23.487	26.135	28.500

ekkarill92 answered 8 months ago

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