Donald Corp

question 56

Essay

Donald Corp. reported the following on its comparative income statement (in millions): Prepare a horizontal analysis of revenues and cost of goods sold, both in dollar amounts and in percentages, for 2016 and 2017. (Round your percentage answers to two decimal places.)

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Definitions:

April

The fourth month of the year in the Gregorian calendar.

Variable Overhead Efficiency Variance

The difference between actual variable overhead based on the hours worked and the standard variable overhead for the same activity level.

July

The month that is positioned seventh in the Gregorian calendar year.

Raw Materials Quantity Variance

The difference between the actual quantity of raw materials used in production and the standard quantity expected to be used, multiplied by the standard cost per unit of raw material.