P5-7A – Alana Inc. – Full Solution with details
P5-7A - Alana Inc.Alana Inc. operates a retail operation that purchases and gross sales house leisure merchandise. The corporate purchases all merchandise stock on credit score and makes use of a periodic stock system. The Accounts payable account is used for recording stock purchases solely, all different present liabilites are accrued in seperate accounts. You might be supplied with the next chosen data for the fiscal yr 2011 by means of 2014, inclusive.Alana Inc.2011 2012 2013 2014Earnings assertion knowledgeGross sales income$55,000 € $47,000Value of products bought(a) $13,800 $14,300Gross Revenue$38,300 $35,200 (i)Working Expense$34,900 (f) $28,600Internet Earnings(b) $2,500 (j)Stability Sheet Knowledge 2011 2012 2013 2014Stock $7,200 © $eight,100 (ok)Accounts Payable $three,200 $three,600 $2,500 (l)Further InfoBuy of Merchandise stock on account$14,200 (g) $13,200Money Cost to Suppliers(d) (h) $13,600(a) Calculate the lacking quantity(b) Gross sales declined over the three yr fiscal interval, 2012 - 2014. Does that imply that profitabilty necessarially additionally declined? Clarify, computing the gross revenue charge and the revenue margin for every fiscal yr to assist assist your reply.