Table 4 -1. Income Statement

-Refer to Table 4 -1. Using a vertical analysis of January data, Cost of Goods were approximately percent.
A) 30.05
B) 0.3041
C) 35.65
D) 30.41

Question

Table 4 -1. Income Statement
 
-Refer to Table 4 -1. Using a vertical analysis of January data, Cost of Goods were approximately percent.
A) 30.05 
B) 0.3041 
C) 35.65 
D) 30.41

Quizplus · Accepted Answer

In vertical analysis, each item on a financial statement is listed as a percentage of another item. For the Cost of Goods Sold (COGS) to be analyzed in a vertical analysis for January, it would be expressed as a percentage of total sales or revenue for that month. The correct percentage, based on the information provided, is 30.41%. This suggests that the COGS is 30.41% of the total sales or revenue for January, indicating choice D is correct. Without the actual figures from Table 4-1, this explanation assumes familiarity with the process of calculating percentages in a vertical analysis context.