Ask Experts Questions for FREE Help !
Ask
    kofit's Avatar
    kofit Posts: 1, Reputation: 1
    New Member
     
    #1

    Sep 16, 2014, 12:56 PM
    Accounting
    [FONT=Times New Roman][SIZE=3][COLOR=#000000]

    [/COLOR][/SIZE][/FONT][COLOR=#000000]Which company is doing better,
    company A or B, and why, for the past year? Explain/support your answer.[/COLOR]
    [FONT=Times New Roman][SIZE=3][COLOR=#000000]

    [/COLOR][/SIZE][/FONT][COLOR=#000000]Company A has $100 million in Sales
    Revenue and has $2 million in Net Income (after all taxes and expenses) for the
    past year.[/COLOR]
    [FONT=Times New Roman][SIZE=3][COLOR=#000000]

    [/COLOR][/SIZE][/FONT][COLOR=#000000]Company B has $10 million in Sales
    Revenue and has $1 million in Net Income (after all taxes and expenses)
    for the past year.[/COLOR]
    [FONT=Times New Roman][SIZE=3][COLOR=#000000]

    [/COLOR][/SIZE][/FONT][COLOR=#000000]They have identical Assets,
    Liabilities and Shareholder's Equity. Assume they are in the same
    industry and same region of the country.[/COLOR]
    [FONT=Times New Roman][SIZE=3][COLOR=#000000]

    [/COLOR][/SIZE][/FONT]
    kingflash's Avatar
    kingflash Posts: 18, Reputation: 1
    New Member
     
    #2

    Sep 16, 2014, 01:11 PM
    Company B. They had 90% less sales than Company A and made 50% of what Company A made. Company B obviously had less operating expenses
    paraclete's Avatar
    paraclete Posts: 2,706, Reputation: 173
    Ultra Member
     
    #3

    Sep 16, 2014, 07:04 PM
    From the data provided one company has a lower return on investment

Not your question? Ask your question View similar questions

 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Questions on financial accounting,cost and management accounting [ 3 Answers ]

I want different sets of questions on financial accounting,cost and management accounting for free. I am a teacher in this area

AP Journal Entires - accrual accounting and cash accounting [ 6 Answers ]

What are the journal entries for accrual accounting and cash accounting for an invoice and a payment?

List five differences between management accounting and cost accounting [ 1 Answers ]

Describe five differences between management accounting and cost accounting


View more questions Search