Revenue and Expense Data for Bluestem Company Are as Follows

question 144

Essay

Revenue and expense data for Bluestem Company are as follows:
$\begin{array}{lrr}&\text { Year 2}&\text { Year 1}\\\text { Administrative expenses } & \$ \overline{37,000} & \overline{\$ 20,000} \\\text { Cost of goods sold } & 350,000 & 320,000 \\\text { Income tax } & 40,000 & 32,000 \\\text { Sales } & 800,000 & 700,000 \\\text { Selling expenses } & 150,000 & 110,000\end{array}$ a Prepare a comparative income statement,with vertical analysis,stating each item for both years as a percent of sales.
b Comment upon significant changes disclosed by the comparative income statement.
Round percentages to one decimal place.

Recognize the legal and ethical considerations in crafting negative messages.

Appreciate the importance of tone, choice of words, and medium in delivering negative messages.

Understand the role of apologies and expressions of sympathy in mitigating the impact of negative news.

Recognize the importance of ending negative messages on a positive note to maintain relationships.

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Definitions:

Prostaglandins

A group of lipids made at sites of tissue damage or infection that are involved in injury and illness processes, such as inflammation.

Bradykinins

Peptides that cause blood vessels to dilate, leading to decreased blood pressure and pain.

General Adaptation Syndrome

A three-phase reaction to stress introduced by Hans Selye, consisting of alarm, resistance, and exhaustion stages, explaining the body's response to stress.

Alarm

A device or system designed to alert individuals to potential danger, emergencies, or the need for action, often found in medical devices, cars, and home security systems.