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Net income 3.13. The table below shows the common-sized income statements for six firms and a descrip- tion of their operations. All of these firms use U.S. GAAP. (a) Commonwealth Edison: generates and sells electricity to businesses and households in capital-intensive plants. (b) Delta Air Lines provides airline transportation services. (c) Tiffany & Company: designer, manufacturer , and retailer of jewelry and specialty items (including china, timepieces, and silver) (d) Hewlett-Packard: manufactures and sells computers, printers, and other hardware (e) Kroger Stores: operates a chain of grocery store nationwide. () Kelly Services provides temporary office services to businesses and other firms. Sales revenue represents the amount billed to customers for temporary help services, and the cost of goods and services include the amount Kelly paid to temporary help employees (a) (b) (c) (d) (e) () 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 0.5 0.9 (73.6) (814) (60.6) (63.0) (613) (44.5) (19.9) (14.1) (17.9) (24.0) (5.0) (36.8) Sales Other revenue Cost of Goods and Services sold Selling and Administrative Expenses Depreciation Interest Income Taxes (0.8) (2.1) (1.4) (1.4) (5.1) (80) (33) (3.4) (8.7) (0.9) 173) (0.1) (29) (6.7) (6,5) 6.7% 0.0% 1036 (15) 5.6 1.6% 2.2 Net Income Required: Use the clues you can find to match the firms listed common-sized financial statements and explain your reasoning Question 3.13 - Prepare common-size income statements for Dece 2014 using the income statements for Yarrick Company on Page 14 following questions: a. Cost of goods sold percentage for 2014. b. Cost of goods sold percentage for 2015. c. Cost of goods sold percentage for 2016. d. Gross profit percentage for 2014. e. Gross profit percentage for 2015. f. Gross profit percentage for 2016. g. Selling, general and administrative expenses percentage for 2014. h. Selling, general and administrative expenses percentage for 2015. i. Selling, general and administrative expenses percentage for 2016. j. Research and development percentage for 2014. k. Research and development percentage for 2015. 1. Research and development percentage for 2016. m. Operating profit percentage for 2014. n. Operating profit percentage for 2015. o. Operating profit percentage for 2016. p. Income tax expense (benefit) percentage for 2014. q. Income tax expense (benefit) percentage for 2015. r. Income tax expense (benefit) percentage for 2016. s. Net profit percentage for 2014. t. Net profit percentage for 2015. u. Net profit percentage for 2016

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