90.2K

Verified Solution

Link Copied!

[The following information applies to the questions displayed below.) Selected comparative financial statements of Korbin Company follow KORBIN COMPANY Comparative Income Statements For Years Ended December 31, 2021, 2020, and 2019 2021 2020 2019 Sales 5. 560, 350 5 429,274 5. 297.900 Cost of goods sold 337,331 270,013 190.656 Gross profit 223,019 159,261 107,244 Selling expenses 79,570 59,240 39,323 Administrative expenses 50.432 37.776 24,726 Total expenses 130,002 97.016 64.049 Income before taxes 93,017 62,245 43,195 Income tax expense 17,301 12.760 8.769 Not income $ 75, 716 $ 49,485 $ 34,426 KORDIN COMPANY Comparative Balance Sheets December 31, 2021, 2020, and 2019 2021 2020 2019 Assets Current assets $ 57,441 $ 38,466 $ 51,393 Long-term Investments 0 700 3.750 Plant assets. net 105,052 95,836 56,690 Total assets $ 162,493 $ 134,982 $. 111,833 Liabilities and Equity Current liabilities $ 23,724 $ 20,112 $ 19,571 Comton atook 68,000 68,000 50,000 Other paid-in capital 8.500 8,500 5,556 Retained earnings 62,269 39,370 36,706 Total liabilities and equity $ 162,493 5 134,982 $ 111,833 4. Refer to the results from parts 1, 2, and 3 (a) Did cost of goods sold make up a greater portion of sales for the most recent year compared to the prior year Yes ONO (b) Did income as a percent of sales improve in the most recent year compared to the prior year? Yes O No (c) Did plant assets grow over this period? Yes O NO

Answer & Explanation Solved by verified expert

See Answer