西方财务会计课后答案(第七章)

1、罢CHAPTER背 7罢Account阿ing Pri澳nciples坝ASSIGNM巴ENT CLA哀SSIFICA矮TION TA叭BLEBriefAB凹Study O安bjectiv胺es1.蔼Explain叭 the me爱aning o罢f唉Questio瓣ns1, 2胺Exercis稗es1, 2爸Exercis败es败Problem瓣s扳Problem袄s罢general芭ly acce拌pted瓣account鞍ing pri唉nciples案 and澳identif傲y the k拔ey item背s of癌the con拜ceptual板framewo绊rk.2.蔼Desc

2、rib罢e the b袄asic33白objecti疤ves of 扳financi伴al霸reporti盎ng.3.瓣Discuss八 the qu蔼alitati颁ve3, 4, 54, 5, 6吧charact邦eristic按s of安account罢ing inf暗ormatio岸n安and ele盎ments o扮f finan把cial傲stateme阿nts.4.皑Identif跋y the b爸asic671, 2, 3爱1A, 2A,罢 3A班1B, 2B,办 3B阿assumpt凹ions us奥ed by扳account搬ants.5.矮Identif氨y the b岸

3、asic pr拔inci-澳7, 8, 9阿, 10,7霸1, 2, 3办, 4败1A, 2A,啊 3A扮1B, 2B,靶 3B澳ples of叭 accoun爱ting.126.叭Identif暗y the t败wo con-117, 81, 2, 33A3B傲straint扮s in ac拌countin昂g.7.邦Underst俺and and癌 analyz版e碍13, 14,爸 15,吧9, 10, 佰11绊5, 6, 7扮, 8,4A, 5A4B, 5B白classif懊ied fin白ancial阿stateme翱nts.1698.暗Explain扮 the ac板countin

4、捌g17, 1810背princip瓣les use袄d in in敖ter-吧nationa爸l opera扒ti鞍ons.7-1伴ASSIGNM白ENT CHA颁RACTERI碍STICS T哎ABLEProblem碍Difficu瓣ltyTimeNumber1A癌Descrip袄tion耙Analyze颁 transa叭ctions 伴to iden斑tify ac拜countin挨g princ扮iple orLevel佰Moderat氨e佰Allotte唉d (min.班)2030癌assumpt办ion vio啊lated, 八and pre坝pare co奥rre耙ct entr

5、稗ies.2A胺Determi挨ne the 凹appropr爸iatenes霸s of jo啊urnal e叭ntries 挨in叭Moderat稗e2030懊terms o芭f gener矮ally ac扳cepted 跋account拌ing pri邦nciples笆 or唉assumpt扮ions.3A翱Identif昂y accou澳nting a板ssumpti败ons, pr背inciple敖s, and暗Moderat安e2030袄constra胺ints.4A碍Pre按pare a 艾classif拜ied bal八ance sh颁eet and背 analyz澳e fina

6、n艾cial凹Moderat搬e3545俺positio懊n.5A癌Prepare隘 a mult案iple-st斑ep inco鞍me stat扳ement a哀nd anal胺yze扮Moderat蔼e3545挨profita佰bility.1B扒Analyze阿 transa搬ctions 办to iden敖tify ac氨countin矮g princ佰iple or熬Moderat癌e2030隘assumpt昂ion vio熬lated, 案and pre摆pare co拌rrect e八ntries.2B扒Determi敖ne the 跋appropr笆iatenes巴s of j

7、o阿urnal e按ntries 佰in奥Moderat鞍e2030班terms o班f gener按ally ac巴cepted 埃account胺ing pri癌nciples绊 or瓣assumpt耙ions.3B八Identif拌y accou蔼nting a半ssumpti盎ons, pr啊inciple鞍s, an扮d芭Moderat伴e2030瓣constra叭ints.4B安Prepare扒 a clas摆sified 坝balance熬 sheet 伴and ana颁lyze般Moderat八e3545袄financi拜al posi板tion.5B扒Prepare伴 a m

8、ult霸iple-st邦ep inco凹me stat搬ement a翱nd anal哎yze翱Moderat佰e3545八profita案bility.7-2袄BLOOMS耙 TAXONO爸MY TABL按E7-3Correlation Chart between Blooms Taxonomy, Study Objectives and End-of-Chapter Exercises and ProblemsKnowledgeQ7-1Q7-2BE7-2BE7-1ComprehensionApplicationAnalysisSynthesisEvaluationStudy Objecti

9、ve1.Explain the meaning of gener-ally accepted accountingprinciples and identify the keyitems of the conceptualframework.Q7-3BE7-3BE7-4BE7-5BE7-6BE7-7Q7-6E7-1E7-3Q7-7Q7-8Q7-9Q7-10Q7-12E7-1E7-3Q7-14Q7-15P7-3AP7-3BBE7-8Q7-16BE7-9BE7-10BE7-11E7-5E7-10E7-6E7-7E7-8E7-9E7-1E7-3P7-3AP7-3BQ7-8E7-4E7-2P7-1AP

10、7-2AP7-1BE7-2Q7-13E7-8P7-4AP7-5AP7-4BP7-5BQ7-13P7-4AP7-5AP7-4BP7-3AP7-3BE7-2P7-1AP7-2AP7-1BP7-2BP7-2BQ7-3Q7-4Q7-52.Describe the basic objectivesof financial reporting.3.Discuss the qualitativecharacteristics of accountinginformation and elements offinancial statements.4.Identify the basic assumption

11、sused by accountants.BE7-75.Identify the basic principles ofaccounting.Q7-11BE7-7Q7-18Q7-176.Identify the two constraints inaccounting.7.Understand and analyzeclassified financial statements.P7-5B8.Explain the accountingprinciples used in internationaloperations.Broadening Your PerspectiveCommunicat

12、ion Group Decision InterpretingFinancial ReportingFinancialCaseCommunicationStatementsComp. AnalysisResearch CaseA Global Focus Group DecisionInterpreting FinancialCaseStatementsCookie ChronicleExploring the WebEthics CaseGroup Decision CaseComp. AnalysisResearch CaseA Global FocusCookie Chronicle巴A

13、NSWERS扳 TO QUE白STIONS1.(a)(b)埃General皑ly acce皑pted ac拔countin昂g princ笆iples (伴GAAP) a罢re a se熬t of st按andards埃 and ru伴les, ha摆ving耙substan捌tial au隘thorita阿tive su八pport, 暗that ar疤e recog巴nized a案s a gen疤eral gu岸ide for把 financ懊ial袄reporti般ng.唉The bod白ies tha澳t provi艾de auth阿oritati捌ve supp埃ort for案

14、GAAP a阿re the 颁Financi扳al Acco板unting 挨Stan-唉dards B傲oard (F坝ASB) an癌d the S暗ecuriti案es and 霸Exchang伴e Commi靶ssion (矮SEC).2.3.4.5.6.7.8.9.搬The FAS佰B拜颁s conce拌ptual f隘ramewor肮k consi岸sts of 矮the fol皑lowing:唉(1) Obj按ectives败 of Fin芭ancial 捌Reporti笆ng.矮(2) Qua扒litativ版e Chara颁cterist袄ics of 按Account矮in

15、g Inf袄ormatio摆n.佰(3) Ele敖ments o隘f Finan八cial St皑atement半s.爱(4) Ope巴rating 般Guideli背nes (As佰sumptio百ns, Pri摆nciples斑, and C坝onstrai拜nts).碍(a) Acc叭ording 柏to the 笆FASB in安 its de傲velopme爱nt of t矮he conc罢eptual 八framewo板rk, the柏 object翱ives of爸financi扳al repo败rting a哀re to p翱rovide 跋informa昂tion th班at

16、: (1)按 is use爱ful to 稗those m暗aking i按nvestme爸nt瓣and cre搬dit dec芭isions,办 (2) is啊 helpfu艾l in as阿sessing哀 future巴 cash f疤lows, a佰nd (3) 昂identif笆ies the阿 eco-拜nomic r靶esource搬s (asse绊ts), th澳e claim扒s to th蔼ose res捌ources 暗(liabil埃ities),扳 and th办e chang蔼es in稗those r昂esource斑s and c颁laims.柏(b) The扳

17、 qualit按ative c皑haracte霸ristics哀 are: (半1) rele碍vance, 斑(2) rel扮iabilit版y, (3) 艾compara芭bility,扳 and (4斑)版consist奥ency.俺Curtis 班is corr半ect. Co瓣nsisten敖cy mean唉s using笆 the sa巴me acco敖unting 叭princip哎les and疤 accoun坝ting me鞍th-芭ods fro袄m perio昂d to pe版riod wi挨thin a 哎company按. Witho稗ut cons凹istency坝

18、 in the碍 applic俺ation o搬f accou安nting班princip耙les, it拌 is dif捌ficult 案to dete摆rmine w稗hether 碍a compa霸ny is b版etter o隘ff, wor癌se off,矮 or the鞍 same f袄rom氨period 板to peri笆od.爱Compara爱bility 吧results拔 when d办ifferen皑t compa唉nies us唉e the s罢ame acc阿ounting胺 princi奥ples. C般onsiste矮ncy板means u叭sing th埃e

19、same 唉account拔ing pri伴nciples拜 and me搬thods f俺rom yea版r to ye矮ar with皑in the 办same澳company爱.癌The goi挨ng conc捌ern ass隘umption癌 is nec埃essary 疤because鞍 otherw罢ise dep隘reciati八on and 懊amortiz碍ation氨policie澳s would挨 not be案 justif瓣iable a扒nd appr班opriate吧. Also,蔼 the cu疤rrent-n岸oncurre跋nt clas柏sificat斑i

20、on of唉assets 袄and lia邦bilitie吧s would盎 lose m挨uch of 吧its sig半nifican耙ce. Lab拌eling a斑nything吧 as fix按ed or l敖ong-ter岸m叭would b罢e diffi坝cult to霸 justif败y. In a办ddition拜, the g扒oing co版ncern a矮ssumpti罢on lend拜s credi败bility 白to the 阿cost矮princip俺le.挨Revenue半 should八 be rec鞍ognized般 in the捌 accoun艾tin

21、g pe爸riod in罢 which 板it is e罢arned. 胺The sal邦es basi安s挨involve巴s an ex捌change 板transac袄tion be哀tween t斑he sell胺er and 八buyer a俺nd the 捌sales p摆rice pr癌ovides 艾an啊objecti胺ve meas氨ure of 搬the amo啊unt of 岸revenue邦 realiz按ed.八Expired靶 costs 伴generat扳e reven半ues onl爸y in th胺e curre隘nt peri耙od and 哀theref

22、o埃re are 艾expense袄d immed蔼i-叭ately. 扮Unexpir耙ed cost皑s will 袄generat斑e reven扮ues in 扮current懊 and fu颁ture pe白riods a岸nd are 鞍recorde拌d asassets.百(a) The斑 accoun把tant di霸scloses芭 inform氨ation a昂bout an盎 entity背艾s finan败cial po佰sition,摆 operat隘ions, a拔nd俺cash fl癌ows in 颁the fin敖ancial 蔼stateme佰nts, or

23、哀 in the唉 notes 柏that ac懊company霸 the st霸atement瓣s.拔(b) The疤 trade-芭offs in爱volved 皑with di安sclosur叭e balan百ce the 爸costs o佰f prepa澳ring ad瓣ditiona败l infor靶mation扳and the鞍 benefi俺ts from唉 using 板it.7-4澳Questio佰ns Chap板ter 7隘 (Conti癌nued)10.11.12.13.14.15.16.17.18.啊Cost is岸 used b拔ecause 摆it is b败oth

24、 rel挨evant a扮nd reli翱able. C把ost is 澳relevan叭t becau奥se it r隘epresen隘ts the碍price p扮aid, th爸e asset氨s sacri扒ficed, 碍or the 邦commitm扒ent mad巴e at th柏e date 氨of acqu哀isition瓣. Cost 伴is岸reliabl柏e becau把se it i哎s objec安tively 暗measura疤ble, fa暗ctual, 扒and ver啊ifiable摆. It is哎 the re背sult of埃 an氨exchang绊e

25、 trans隘action.碍 As a r绊esult, 阿cost is拌 the ba胺sis use安d in pr斑eparing案 financ颁ial sta斑tements傲.敖The two佰 constr斑aints a巴re mate背riality柏 and co挨nservat板ism. Th安e mater百iality 稗constra胺int mea瓣ns that埃 an邦item ma矮y be so板 small 罢that fa版ilure t伴o follo坝w gener敖ally ac巴cepted 氨account颁ing pri皑nciples

26、碍 will n板ot infl罢u-熬ence th傲e decis捌ion of 扮a reaso岸nably p瓣rudent 昂investo笆r or cr哎editor.吧 The co扳nservat巴ism con哀straint罢means t坝hat whe拜n in do昂ubt, th唉e accou班ntant c碍hooses 俺the acc瓣ounting扒 method啊 that i佰s least颁 likely哀 to敖oversta挨te asse扮ts and 敖net inc案ome.鞍Recordi斑ng Oste熬rhaus氨版 additi瓣

27、onal in凹vestmen般t of $5爸,000 as岸 revenu摆es is i奥napprop把riate. 唉An inve摆st-吧ment in叭 a corp胺oration搬 increa拌ses the半 common隘 stock 板account隘, not r稗evenues岸.班Three r佰elation啊ships t懊hat are芭 helpfu肮l in as爸sessing蔼 profit般ability翱 are: (巴1) the 阿profit 颁margin 奥percent败age扳(or ret奥urn on 板sales),埃 (

28、2) re隘turn on笆 assets袄, and (澳3) retu绊rn on c半ommon s颁tockhol伴ders安版 equity皑. More班than on版e profi癌tabilit暗y relat敖ionship叭 is use敖ful in 昂that th邦e relat暗ionship吧s help 安in diff伴erent t盎ypes of按 analy-叭sis. Re澳turn on绊 sales,稗 for ex巴ample, 霸measure敖s the p跋ercenta阿ge of e般ach sal熬es doll矮ar that爱

29、is inc盎luded颁in net 疤income,癌 wherea疤s retur安n on as稗sets me笆asures 矮the con唉tributi颁on of e柏ach dol绊lar of 敖assets 翱in邦generat霸ing inc班ome. Th拔e forme叭r, then扮, helps啊 analyz隘e profi跋ts in t巴erms of颁 revenu白es alon扒e; the 奥latter搬helps a爸nalyze 搬profits暗 in ter疤ms of t袄he asse艾t base 邦in gene扳ratin

30、g 笆sales a胺nd prof摆its. If罢 the re岸turn on熬assets 昂is lowe板r than 傲warrant伴ed, the板 compan碍y may n半ot be u佰sing it捌s asset佰s effec扳tively;拌 if ret翱urn on百sales i拔s lower暗 than w扒arrante蔼d, the 按company碍 may no傲t be co挨ntrolli矮ng cost捌s effec芭tively.班Natasha癌 Compan埃y伴盎s worki般ng capi爸tal (a)背 is $60

31、把,000 敖伴 $20,00佰0 = $40靶,000, a艾nd its 皑current岸 ratio 版(b)白is $60,把000 吧罢 $20,00版0 = 3:1搬.百Wheneve哎r curre罢nt asse板ts are 败less th碍an curr巴ent lia奥bilitie岸s, work巴ing cap吧ital is傲 negati氨ve and 奥the cur伴-爸rent ra昂tio wil艾l be le蔼ss than叭 1:1. (柏Wheneve胺r curre斑nt asse捌ts are 败greater办 than c半urrent

32、 罢liabili昂ties,斑working袄 capita盎l is po翱sitive 百and the爱 curren跋t ratio暗 is gre氨ater th伴an 1:1.熬)氨A debt 颁to tota巴l asset摆s ratio安 of 62%扒 is fai哀rly sub挨stantia熬l. But 哎more is跋 involv爸ed in a癌 credit拔 decisi凹on版than ju唉st one 靶financi八al stat俺ement r鞍elation佰ship. E办xtensio奥n of ad袄ditiona拌l credi

33、叭t will 矮depend 蔼on艾Bozeman隘俺s overa皑ll liqu败idity (澳current蔼 ratio)把 and pr白ofitabi扮lity (a傲bility 碍to gene八rate re昂venue a瓣nd cash啊)案over th芭e life 挨of the 懊loan. S拌imilarl扳y, Boze袄man敖啊s credi懊t histo版ry is i跋mportan挨t熬傲its pat霸terns o鞍f loan盎repayme坝nt in t芭he past翱. No on笆e analy懊tical r昂elatio

34、n澳ship ca袄n provi隘de suff拌icient 巴informa哀tion to爱 deter-扮mine gr挨anting 挨of addi疤tional 百credit.背There i唉s littl爱e unifo稗rmity i哎n accou阿nting s班tandard笆s from 扮country挨 to cou傲ntry, a扳lthough白 some e隘fforts叭have be哎en made把 in thi哎s area 绊by the 暗Interna啊tional 按Account耙ing Sta碍ndards 瓣Committ芭ee.

35、吧The Int罢ernatio盎nal Acc靶ounting岸 Standa碍rds Com袄mittee 板establi胺shes in爸ternati埃onal ac熬countin绊g stan-捌dards, 肮althoug敖h they 霸are by 暗no mean奥s unive靶rsally 霸applied阿.7-5伴SOLUTIO巴NS TO B傲RIEF EX隘ERCISES耙BRIEF E埃XERCISE班 7-1坝(a) Tru安e.凹(b) Fal安se.伴(c) Tru八e.盎BRIEF E拜XERCISE碍 7-2(a) No.伴(b) Yes稗.伴(

36、c) Yes拜.跋BRIEF E颁XERCISE百 7-3(a) No.蔼(b) Yes扒.敖(c) Yes安.班BRIEF E八XERCISE罢 7-4(a)(b)(c)(d)(e)鞍Predict柏ive val办ue.把Feedbac鞍k value叭.敖Consist蔼ency.挨Faithfu笆l repre敖sentati哎on.蔼Verifia绊ble.皑BRIEF E绊XERCISE肮 7-5扳(a) Rel叭evant.佰(b) Rel捌iabilit哀y.败(c) Con袄sistenc跋y.7-6唉BRIEF E搬XERCISE昂 7-6(a)(b)(c)(d)1.2.3

37、.4.爸BRIEF E拔XERCISE班 7-7(a)(b)(c)(d)2.3.1.4.扳BRIEF E爸XERCISE绊 7-8(a)(b)(c)(d)霸Conserv暗atism.奥Conserv凹atism.艾Materia绊lity.傲Materia安lity.翱BRIEF E傲XERCISE颁 7-9扮Current爸 Assets艾Current爱 Liabil捌itiesCash般Account板s recei矮vableTotal昂$ 110,6澳00蔼1,674,4安00佰$1,785,斑000挨Account班s payab板le爸Income 扒taxes p巴ayabl

38、e颁Other c矮urrent 敖liabili巴tiesTotal把$ 584,6罢0025,900608,500笆$1,219,爸000哎(a) Cur板rent ra爸tio拌= Curre盎nt asse懊ts 哀啊 Curren爱t liabi版lities俺= $1,78矮5,000 搬澳 $1,219霸,000埃= 1.46:叭1扳(b) Wor佰king ca敖pital =般 Curren隘t asset凹s 皑爸 Curren疤t liabi笆lities八= $1,78叭5,000 耙败 $1,219肮,000盎= $566,澳0007-7暗BRIEF E跋XERCIS

39、E碍 7-10半Gross p盎rofit捌Income 懊from op罢eration斑s颁Other r挨evenues伴 and ga矮ins扳Income 耙before 矮income 奥taxes哎Net inc艾ome昂BRIEF E奥XERCISE啊 7-11安$907,00白0爸667,000拜 = Oper爱ating e懊xpenses笆 (a)240,00036,000276,000扒96,600 背= Incom癌e tax e傲xpense 百(b)霸$179,40绊0跋Earning白s per s俺hare昂= Net i伴ncome 挨版 common罢 s

40、hares阿 outsta拜nding矮= $179,爱400 傲版 46,000= $3.907-8澳SOLUTIO捌NS TO E敖XERCISE班S扳EXERCIS拌E 7-11.2.3.4.5.6.7.8.把Revenue叭 recogn搬ition p挨rincipl拌e.摆Full di拜sclosur拜e princ扮iple.熬Matchin挨g princ搬iple.矮Going c翱oncern 扒assumpt澳ion.案No viol疤ation.坝Time pe澳riod as拜sumptio邦n.巴Cost pr鞍inciple案.伴Economi八c entit跋

41、y assum拜ption.坝EXERCIS挨E 7-2昂(a) Thi蔼s is a 扮violati蔼on of t艾he cost哀 princi版ple. Th鞍e inven败tory wa矮s writt拔en up t疤o芭its mar爱ket val班ue when罢 it sho佰uld hav白e remai办ned at 叭cost. T岸hus, no癌 jour-把nal ent败ry shou暗ld have熬 been m矮ade.佰(b) Thi肮s is al班so a vi叭olation爱 of the白 cost p般rincipl安e becau案s

42、e the 般equipme半nt瓣was rec隘orded a昂t its e盎stimate版d marke板t value艾 and no捌t its e按xchange鞍 value.按The cor班rect jo拌urnal e搬ntry is唉:岸Equipme罢nt.搬.案.艾.暗.懊.扒.拜.懊.哀.芭.俺.挨Cash .暗.靶.阿.盎.奥.八.半.坝.白.拜.瓣.耙.41,00041,000奥(c) Thi百s is a 澳violati靶on of t奥he econ袄omic en埃tity as版sumptio白n. The 拔account半ing唉for the

43、氨 transa哎ction t颁reats M盎ark Nab背ke and 拜Vicki P暗rowitz 疤Company敖 as扒one ent懊ity whe拌n they 扳are two岸 separa办te enti隘ties. N熬o journ碍al entr按y shoul白d按have be傲en made岸 since 岸Nabke s拔hould h板ave use疤d perso百nal ass隘ets to啊purchas奥e the t拜ruck. I白f cash 哀assets 盎of the 凹company安 were u隘sed, th罢e debi

44、t般entry c叭ould be八 to Acc昂ounts R按eceivab绊le挨疤M. Nabk爱e.傲(d) Thi拌s is a 柏questio般n of ma隘tching 瓣and mat胺erialit疤y. The 稗pencil 碍sharpen澳er癌could b挨e depre班ciated 埃to matc吧h the e傲xpense 绊with re坝venue s跋ince th哎e八pencil 案sharpen败er has 矮an esti半mated u暗seful l扮ife of 袄5 years叭. Howev暗er, the艾pencil

45、 奥sharpen半er shou耙ld not 版be depr皑eciated绊 becaus奥e the c拜ost of 挨it is案not mat佰erial. 巴Since t哀he cost拌 of the跋 sharpe半ner is 阿not mat板erial, 背it shou按ld7-9隘EXERCIS佰E 7-2 (芭Continu摆ed)熬be expe敖nsed im袄mediate哀ly. The挨 correc背t journ阿al entr罢y at th翱e time 霸of pur-碍chase i案s:爸Miscell半aneous 翱Expense

46、耙 .岸.板.扮.翱.哀.版.笆.板.罢.皑Cash.奥.瓣.绊.叭.懊.斑.爸.案.肮.俺.巴.鞍.哎.埃.跋EXERCIS碍E 7-35050(a)(b)(c)(d)(e)(f)(g)(h)2.1.7.3.9.4.6.5.奥Going c霸oncern 坝assumpt叭ion.颁Economi埃c entit安y assum按ption.版Full di巴sclosur凹e princ氨iple.百Monetar啊y unit 埃assumpt伴ion.办Materia盎lity.矮Time pe扳riod as扮sumptio背n.捌Matchin背g princ唉iple.埃Cost

47、 pr奥inciple板.碍EXERCIS拌E 7-41.2.3.4.扳$9,000.稗 The fu按ll amou案nt of t佰he poli蔼cy shou爸ld be r柏ecogniz斑ed as r办evenue板because班 the te摆rm expi办red wit埃hin the百 curren爱t year.办$30,000霸 巴熬 12 = $败2,500; 岸$2,500 癌X 4 = $捌10,000.跋 By app暗lying t扒he reve傲nue暗recogni拌tion pr按inciple爱, one c稗an dete袄rmine t挨ha

48、t 4 m半onths o背f the l斑ease re熬-爸ceipts 暗should 癌be reco皑gnized 蔼as reve摆nue in 碍2006, w隘hile th皑e remai傲nder is八revenue阿 in 200啊7.案$14,000霸. Owner隘ship of败 the me伴rchandi懊se tran白sfers a扒t Decem拔ber 31 霸be-叭cause t耙he term耙s are F办OB ship巴ping po邦int. Th拜us, a s爱ale has挨 occurr袄ed and半revenue案 shoul

49、d叭 be rec般ognized俺.捌$0. No 案revenue澳 should稗 be rec熬ognized胺 until 翱the sal澳e of th岸e inven坝tory ha疤s皑occurre拌d.7-10昂EXERCIS佰E 7-5挨Net sal肮es.疤.蔼.敖.疤.蔼.稗.斑.拜.哀.碍.摆Cost of捌 goods 胺sold.扮.佰.鞍.哀.搬.肮.吧.熬.凹Gross p肮rofit .版.板.霸.吧.捌.百.暗.埃.阿.暗.柏Operati哀ng expe艾nses暗Selling背 expens俺es.唉.拌.碍.胺.背.搬.吧.扒$ 98,60矮

50、0百$696,00袄0409,200286,800佰Adminis稗trative叭 expens敖es .白.挨.颁.凹.116,000214,600爱Income 爱from op唉eration碍s.澳.扮.把.版.扳.板.稗Other r隘evenues搬 and ga昂ins .啊.扮.瓣.爸.熬.佰.17,50072,200岸Other e埃xpenses笆 and lo半sses .蔼.背.跋.啊.埃.八Income 袄before 碍income 办taxes .稗.瓣.拔.稗.霸.挨Income 阿tax exp败ense (a绊t 30%).皑.瓣.哀.耙.阿.叭Net i

51、nc扮ome.按.颁.百.背.肮.疤.敖.埃.绊.傲.澳Earning碍s per s翱hare (1吧0,000 s班hares).矮.伴.办.绊EXERCIS拌E 7-6靶(34,700摆)班(17,200稗)55,00016,500柏$ 38,50巴0$3.85(a)伴Revenue皑s皑WILKINS按ON CORP耙ORATION唉Income 癌Stateme拌nt唉For the瓣 Year E暗nded De俺cember 胺31, 200俺6拔Net sal拔es .矮.半.百.唉.挨.吧.伴.皑.跋Gain on懊 the sa俺le of e懊quipmen艾t .巴.跋

52、.挨Interes袄t reven霸ue .耙.半.把.案.败.佰.笆Total r扮evenues碍 .安.巴.唉.班.版Expense扳s盎Cost of绊 goods 败sold.般.佰.摆.皑.搬.拜Selling八 and ad霸ministr挨ative艾expense澳s.耙.吧.叭.柏.班.扳.爸.凹Interes巴t expen版se.拌.阿.坝.颁.胺.盎Total e傲xpenses巴 .肮.埃.白.奥.背Income 拔before 把income 坝taxes .八.拌.啊.颁.拌Income 翱tax exp霸ense.笆.拜.俺.矮.胺.板.背Net inc傲om

53、e.板.半.摆.皑.俺.八.摆.熬.扒Earning般s per s芭hare.傲.癌.芭.叭.绊.耙.7-11哀$1,499,靶900340,75090,000八$2,156,搬90080,000300,000板2,536,9柏00摆1,930,6稗50606,250150,000霸$ 456,2拜50$12.85案EXERCIS拜E 7-6 (扳Continu斑ed)爸(b) (1)绊 Gross 胺profit 拜= Net s癌ales 版般 Cost o瓣f goods矮 sold埃$2,156,扳900 熬埃 $1,499办,900 = 把$657,00俺0.昂(2) Inc熬om

54、e fro扳m opera隘tions =巴 Gross 搬profit 斑爱 Sellin爸g and a肮dmin. e搬xp.板$657,00碍0 耙安 $340,7爱50 = $3背16,250.坝(3) Net氨 income哀 is the敖 same, 笆regardl岸ess of 笆format:敖 $456,2罢50.靶(c) Pro艾fit mar捌gin per扳centage佰 (retur扮n on sa袄les) = 扳Net inc败ome 伴跋 Net sa傲les哎= $456,霸250 敖昂 $2,156吧,900懊=摆 21.15%斑EXERCIS胺E

55、7-7(a)把Relatio澳nship熬Debt to皑 total 芭assets败Return 案on sale啊s靶Return 办on asse案tsIntelCorp.19.7%18.7%12.0%Johnson艾& Johns办on44.3%17.2%14.9%邦Motorol傲a,Inc.60.5%3.3%2.8%八Return 哀on comm暗on翱stockho奥lders皑伴 equity14.9%26.8%7.0%瓣(b) All坝 three 耙compani捌es are 把manufac爱turers 挨and dis艾tributo岸rs of p阿roduc

56、ts艾,疤each be吧ing a l八eader i邦n its p靶roduct 袄industr芭y霸芭Intel a邦s a man办ufactur般er of隘high-te笆ch comp鞍uter ch绊ips and袄 proces翱sors; J伴ohnson 敖& Johns坝on as a搬manufac艾turer o矮f healt绊h care 安product扳s; and 澳Motorol芭a as a 唉manufac敖turer唉of elec奥tronics斑 and co啊mmunica澳tion pr案oducts.埃 Intel 办and Joh盎

57、nson &稗Johnson蔼 are th稗e domin耙ate pla芭yers in耙 their 颁industr澳ies and叭 enjoy 笆com-扳petitiv阿e advan吧tages a扮nd oper扒ating e佰fficien蔼cies th懊at earn叭 above 安average翱returns芭 on sal哎es, ass靶ets, an靶d equit隘y; both百 had ve般ry prof芭itable 奥perform按-鞍ances i邦n 2003.般 Motoro氨la in 2伴003 was爸 still 背recove

58、r蔼ing (st疤aging a靶 turn-巴around)搬 from s胺everal 般years o扮f opera肮ting lo伴sses an凹d a cha般nge in 懊man-板agement懊 as wel矮l as a 靶burstin挨g of th癌e high-扳tech in跋dustry 稗bubble 扒in爸1999爸巴2003哎蔼therefo肮re its 办low ret耙urn on 袄sales, 罢assets,百 and eq阿uity.7-12坝EXERCIS埃E 7-8(a)拔Relatio班nship袄Debt to伴 total

59、 癌assets昂Return 败on sale胺s扮Return 拌on asse按ts胺Return 办on equi扳ty坝Souther扮nCompany72.5%13.1%4.2%15.3%蔼Toys 袄“哀R肮”百Us, Inc爱.58.7%2.0%2.2%5.4%IntelCorp.19.7%18.7%12.0%14.9%办(b) Muc佰h of th搬e diffe版rences 暗in the 俺three c摆ompanys跋敖 ratios案 are du办e to th隘e叭industr拜y diffe捌rences柏癌Souther艾n Compa摆ny is a

60、白 large 瓣electri笆c utili阿ty with伴steady,岸 consis靶tent bu按t moder奥ate sal安es and 阿income 啊from a 班heavy邦investm哀ent in 埃plant a柏nd equi挨pment. 把Souther艾n Compa袄ny can 皑shoulde芭r a按large a凹mount o耙f debt 柏(72.5% 熬of tota岸l asset背s) beca哀use of 唉its lar阿ge班amount 吧of asse巴ts, sem凹i monop叭olistic澳 busin