Express the Following Income Statement Information in Common-Size Percentages (Round

question 30

Essay

Express the following income statement information in common-size percentages (round to nearest whole percent). Comment on the results.
$\begin{array}{c} \text {Haans Corp.}\\ \text {Comparative Income Statements}\\ \text {For Years Ended December 31,2018 and 2017}\\\begin{array}{|l|}\hline\\\hline \text {Sales}\\\hline \text {Cost of goods sold}\\\hline \text {Grossprofit}\\\hline \text {Selling expenses}\\\hline \text {Administrative expenses}\\\hline \text {Net income}\\\hline\end{array}\begin{array}{r|}\hline2018\\\hline\$1,2000,000\\\hline\underline{804,000}\\\hline\$\quad396,000\\\hline132,000\\\hline\underline{180,000}\\\hline\underline{\$\quad84,000}\\\hline\end{array}\begin{array}{r|}\hline2017\\\hline\$ 1,000,000 \\\hline 650,000 \\\hline\$ \quad 350,000 \\\hline 120,000 \\\hline \underline{150,000} \\\hline\underline{\$ \quad 80000}\\\hline \end{array}\end{array}$

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Definitions:

Customers

Individuals or businesses who purchase goods or services from another entity.

Expected Value

The average outcome of a random variable, calculated as the sum of all possible values each multiplied by their respective probability of occurrence.

Raffle Tickets

Tickets sold as a means to raise money for a cause, with the chance of winning prizes.

Binomial Distribution

a probability distribution describing the number of successes in a fixed number of independent Bernoulli trials, with a constant probability of success.