Question

Use the following selected information from Wheeler, LLC to determine the 2017 and 2016 trend percentages for net sales using 2016 as the base.2017 2016Net sales $ 276,200 $ 231,400Cost of goods sold 151,900 129,590Operating expenses 55,240 53,240Net earnings 27,820 19,820Multiple Choice65.1% for 2017 and 64.6% for 2016.55.0% for 2017 and 56.0% for 2016.119.4% for 2017 and 100.0% for 2016.36.4% for 2017 and 41.1% for 2016.117.2% for 2017 and 100.0% for 2016.

Answer 1

Answer:

119.4% for 2017 and 100.0% for 2016.

Explanation:

                                                      2017                2016

Net sales                                 $276,200        $231,400

Cost of goods sold                  $151,900        $129,590

Operating expenses                $55,240         $53,240

Net earnings                             $27,820          $19,820

since we are using 2016 as a base year, the $231,400 in net sales represent 100%, so the trend percentage for 2017 = net sales 2017 / net sales 2016 $276,200 / $231,400 = 1.1936 = 119.4% or a 19.4% increase.

The base year's amount will always be 100% or 1, and the trend percentages will change relative to that year.

Answer 2

Answer:

119.4% for 2017 and 100.0% for 2016.

Explanation: