Matakuliah Tahun : V0282 - Manajemen Akuntansi Hotel : 2009 - 2010 PERTEMUAN 3 Chapter 3 The Income Statement Nicole Englezakis manages a South African restaurant in a large southern city. The owner wants to know how well Nicole did this year at generating sales controlling expenses, and providing a profit. Complete Nicole’s P&L using vertical analysis. Bina Nusantara University 3 Nicole's P&L Last Year ($) SALES Food Beverage Total Sales COST OF SALES Food Beverage Total Cost of Sales GROSS PROFIT Food Beverage Total Gross Profit OPERATING EXPENSES Salaries and wages Employee Benefits Direct Operating Expenses Music and Entertainment Marketing Utility Services Reoair and Maintenance Administrative and General Occupancy Depreciation Total Operating Expenses OPERATING INCOME Interest INCOME BEFORE INCOME TAXES Income taxes NET INCOME % This year ($) 3,708,381 3,746,245 1,255,358 1,282,656 145,607 1,611,630 162,231 2,423,725 501,948 2,134,615 1,093,127 1,230,910 190,394 234,670 4,427 84,126 141,688 66,416 128,403 230,400 79,699 1,256,779 196,790 235,571 13,418 111,813 156,538 62,616 125,230 211,200 98,397 166,560 149 147,192 245.194 % a. When comparing this year to last, was Nichole’s marketing expense in dollars higher or lower? b. Was Nicole’s marketing expense % higher or lower this year? c. Do you think that her marketing expense this year positively or negatively contributed to her revenues? Why? d. When comparing this year to last year, was Nicole’s salaries and wages expense in dollars higher or lower? e. Was Nicole’s salaries and wages expense % higher or lower this year? f. Do you think that salaries and wages expense this year positively or negatively contributed to her net income? Why? g. The owner promised Nicole that he would give her a raise if she increased profit margin by at least 2%. Should Nicole receive a raise? Why or why not?