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milestone1spreadsheetattempt1.xlsxTrial Balance
| Chester, Inc. | |||
| Trial Balances for years ending December 31, 2013, 2014 and 2015 | |||
| Account Description | 2,013 | 2014 | 2015 |
| Cash on Hand | $2,483 | $2,459 | $2,511 |
| Checking Account - Operating | 247,646 | 252,858 | 243,892 |
| MMKT Accounts | 806,288 | 983,161 | 1,205,563 |
| Investments - Trading | 6,935,712 | 6,850,198 | 6,978,923 |
| Accounts Receivable | 20,513,628 | 56,472,091 | 49,042,528 |
| Allowance for Doubtful Accounts | (1,578,525) | (2,387,691) | (2,942,552) |
| Other Receivables | 0 | 1,400,000 | 1,200,000 |
| Inventory | 23,531,507 | 75,351,471 | 65,990,780 |
| Reserve for Inventory Obsolescence | (3,765,000) | (12,136,103) | (10,558,525) |
| Prepaid Insurance | 1,829,143 | 2,830,474 | 2,667,722 |
| Prepaid Rent | 250,000 | - 0 | - 0 |
| Office Supplies | 9,259 | 9,565 | 9,182 |
| Land | 146,250 | 131,040 | 131,040 |
| Buildings and Land Improvements | 779,882 | 698,775 | 833,775 |
| Machinery, Equipment, Office Furniture | 541,522 | 3,280,589 | 3,280,589 |
| Accum. Depreciation | (205,000) | (786,102) | (1,403,257) |
| Other Noncurrent Assets | 67,301 | - 0 | - 0 |
| Accounts Payable | (8,934,591) | (19,488,866) | (12,850,648) |
| Wages Payable | (36,838) | (264,513) | (198,384) |
| FICA Employee Withholding | (1,648) | (9,452) | (7,089) |
| Medicare Withholding | (730) | (12,785) | (9,589) |
| Federal Payroll Taxes Payable | (7,541) | (132,256) | (99,192) |
| State Payroll Taxes Payable | (3,519) | (61,630) | (46,200) |
| FICA Employer Withholding | (1,648) | (9,452) | (7,089) |
| Medicare Employer Withholding | (730) | (12,785) | (9,589) |
| Income Taxes Receivable/Payable | 0 | (3,205,440) | (6,011,540) |
| Line of Credit | (12,500,000) | (52,231,360) | (47,481,737) |
| Current Portion LT Note Payable | 0 | (677,640) | (721,480) |
| Interest payable | 0 | (470,311) | (568,429) |
| Bonuses payable | 0 | (504,000) | (459,000) |
| Dividend payable | (6,000,000) | (15,250,000) | (15,000,000) |
| Long-Term Note Payable | (12,762,360) | (12,040,880) | |
| Common Stock | (10,131,250) | (10,131,250) | (10,131,250) |
| Paid-in Capital | (9,278,750) | (9,278,750) | (9,278,750) |
| Retained Earnings (Beginning Balance) | (2,773,900) | ???? | ???? |
| Dividends | 6,000,000 | 15,250,000 | 15,000,000 |
| Sales | (307,716,148) | (271,839,067) | (288,876,206) |
| Sales Returns | 5,621,979 | 12,432,247 | 23,110,096 |
| Income from Investments | (665,079) | (658,672) | (549,387) |
| Unrealized (Gains) and Losses - Investments | 64,288 | 85,514 | (128,725) |
| Interest Income | (255,379) | (147,707) | (142,168) |
| Cost of Goods Sold | 176,961,437 | 161,029,981 | 179,103,248 |
| Administrative Wages Expense | 21,094,132 | 18,344,399 | 19,706,506 |
| Advertising Expense | 1,121,425 | 1,161,276 | 1,058,391 |
| Auto Expenses | 261,218 | 235,763 | 214,001 |
| Bad Debt Expense | 2,028,032 | 5,875,403 | 13,900,800 |
| Bonus Expense | 0 | 504,000 | 459,000 |
| Depreciation Expense | 166,250 | 581,102 | 617,155 |
| Freight | 5,378,689 | 4,749,095 | 4,325,068 |
| Insurance Expense | 1,067,428 | 1,045,085 | 951,774 |
| Legal and Professional Expense | 4,506,417 | 11,037,039 | 8,987,069 |
| Maintenance Expense | 76,420 | 96,020 | 87,641 |
| Miscellaneous Office Expense | 21,279 | 27,803 | 25,390 |
| Payroll Tax Expense | 1,938,736 | 1,767,149 | 1,609,342 |
| Pension/Profit-Sharing Plan Ex | 3,750,000 | 3,696,000 | 3,366,000 |
| Phone | 95,467 | 57,911 | 53,651 |
| Postal | 160,042 | 87,140 | 79,360 |
| Property Tax Expense | 100,619 | 110,252 | 101,319 |
| Rent or Lease Expense | 3,254,357 | 1,370,273 | 2,230,615 |
| Research and Development | 38,639,554 | 532,425 | 3,080,313 |
| Utilities | 169,554 | 170,765 | 155,600 |
| Warehouse Salaries | 5,791,730 | 5,848,120 | 5,270,689 |
| Warranty Expense | 1,375,352 | 1,297,104 | 1,422,381 |
| Interest Expense | 1,093,750 | 3,373,056 | 2,942,147 |
| Income Tax Expense - Federal | 2,956,250 | 14,142,240 | 7,269,540 |
| Income Tax Expense - State | 536,250 | 2,503,200 | 1,258,000 |
| Loss on Legal Settlement | 23,965,000 | - 0 | - 0 |
Income Statement
| Use this worksheet to prepare a Multi-step Income Statement to include EPS | |||||
| Check Figures: | |||||
| 2015 Net Income | $ 8,311,390 | ||||
| 2014 Gross Profit | $ 98,376,839 | ||||
| 2013 Total Expenses | $ 90,996,701 | ||||
| 2013 | 2014 | 2015 | One of the differences that would arise in using the IFRS instead of the U.S GAAP in preparing the income statement is the non-segregation of the unusual or extraordinary items as reflected in the income statement that has been prepared. Similarly, the revenue recogntion would be different under the IFRS since revenue is recognized once ownership risks and rewards ar transferred to the owner. In contrast, the GAAP recognizes revenue once the goods are delivered under definitive agreement for a determinable consideration. | ||
| Revenues | |||||
| Sales | 307,716,148 | 271,839,067 | 288,876,206 | ||
| Sales Returns | (5,621,979) | (12,432,247) | (23,110,096) | ||
| Net-sales | 302,094,169 | 259,406,820 | 265,766,110 | ||
| Cost of Goods Sold | (176,961,437) | (161,029,981) | (179,103,248) | ||
| Gross profit | 125,132,732 | 98,376,839 | 86,662,862 | ||
| Operating expenses | |||||
| Administrative Wages Expense | 21,094,132 | 18,344,399 | 19,706,506 | ||
| Advertising Expense | 1,121,425 | 1,161,276 | 1,058,391 | ||
| Auto Expenses | 261,218 | 235,763 | 214,001 | ||
| Bad Debt Expense | 2,028,032 | 5,875,403 | 13,900,800 | ||
| Bonus Expense | 0 | 504,000 | 459,000 | ||
| Depreciation Expense | 166,250 | 581,102 | 617,155 | ||
| Freight | 5,378,689 | 4,749,095 | 4,325,068 | ||
| Insurance Expense | 1,067,428 | 1,045,085 | 951,774 | ||
| Legal and Professional Expense | 4,506,417 | 11,037,039 | 8,987,069 | ||
| Maintenance Expense | 76,420 | 96,020 | 87,641 | ||
| Miscellaneous Office Expense | 21,279 | 27,803 | 25,390 | ||
| Payroll Tax Expense | 1,938,736 | 1,767,149 | 1,609,342 | ||
| Pension/Profit-Sharing Plan Ex | 3,750,000 | 3,696,000 | 3,366,000 | ||
| Phone | 95,467 | 57,911 | 53,651 | ||
| Postal | 160,042 | 87,140 | 79,360 | ||
| Property Tax Expense | 100,619 | 110,252 | 101,319 | ||
| Rent or Lease Expense | 3,254,357 | 1,370,273 | 2,230,615 | ||
| Research and Development | 38,639,554 | 532,425 | 3,080,313 | ||
| Utilities | 169,554 | 170,765 | 155,600 | ||
| Warehouse Salaries | 5,791,730 | 5,848,120 | 5,270,689 | ||
| Warranty Expense | 1,375,352 | 1,297,104 | 1,422,381 | ||
| Total operating expenses | 90,996,701 | 58,594,124 | 67,702,065 | ||
| Operating profit | 34,136,031 | 39,782,715 | 18,960,797 | ||
| Other income(expenses): | |||||
| Income from Investments | 665,079 | 658,672 | 549,387 | ||
| Unrealized Gains and (Losses) - Investments | (64,288) | (85,514) | 128,725 | ||
| Interest Income | 255,379 | 147,707 | 142,168 | ||
| Interest expense | (1,093,750) | (3,373,056) | (2,942,147) | ||
| Total other income(losses) | (237,580) | (2,652,191) | (2,121,867) | ||
| Taxable income | 33,898,451 | 37,130,524 | 16,838,930 | ||
| Income Tax Expense - Federal | (2,956,250) | (14,142,240) | (7,269,540) | ||
| Income Tax Expense - State | (536,250) | (2,503,200) | (1,258,000) | ||
| Loss on Legal Settlement | (23,965,000) | - 0 | - 0 | ||
| Net-income | 6,440,951 | 20,485,084 | 8,311,390 |
Statement of Retained Earnings
| Use this worksheet to complete a Statement of Retained Earnings | |||
| Check Figures: | |||
| 2015 Shareholders' Equity | $ 21,171,325 | ||
| 2014 Shareholders' Equity | $ 27,859,935 | ||
| 2013 Shareholders' Equity | $ 22,624,851 | ||
| 2013 | 2014 | 2015 | |
| Beginning retained earnings | 2,773,900 | 3,214,851 | 8,449,935 |
| Net income | 6,440,951 | 20,485,084 | 8,311,390 |
| Dividend Paid | (6,000,000) | (15,250,000) | (15,000,000) |
| Ending Retained earnings | 3,214,851 | 8,449,935 | 1,761,325 |
Balance Sheet
| Use this worksheet to complete a Classified Balance Sheet | |||
| Check Figures: | |||
| 2015 Total Current Assets | $ 113,840,024 | ||
| 2014 Current Liabilities | $ 92,330,490 | ||
| 2103 Total Assets | $ 50,112,096 | ||
| 2013 | 2014 | 2015 | |
| Current assets: | |||
| Cash on Hand | $2,483 | $2,459 | $2,511 |
| Checking Account - Operating | 247,646 | 252,858 | 243,892 |
| MMKT Accounts | 806,288 | 983,161 | 1,205,563 |
| Investments - Trading | 6,935,712 | 6,850,198 | 6,978,923 |
| Accounts Receivable | 20,513,628 | 56,472,091 | 49,042,528 |
| Allowance for Doubtful Accounts | (1,578,525) | (2,387,691) | (2,942,552) |
| Other Receivables | 0 | 1,400,000 | 1,200,000 |
| Inventory | 23,531,507 | 75,351,471 | 65,990,780 |
| Reserve for Inventory Obsolescence | (3,765,000) | (12,136,103) | (10,558,525) |
| Prepaid Insurance | 1,829,143 | 2,830,474 | 2,667,722 |
| Prepaid Rent | 250,000 | - 0 | - 0 |
| Office Supplies | 9,259 | 9,565 | 9,182 |
| Total currrent assets | $48,782,141 | $129,628,483 | $113,840,024 |
| Non-current assets: | |||
| Land | 146,250 | 131,040 | 131,040 |
| Buildings and Land Improvements | 779,882 | 698,775 | 833,775 |
| Machinery, Equipment, Office Furniture | 541,522 | 3,280,589 | 3,280,589 |
| Accum. Depreciation | (205,000) | (786,102) | (1,403,257) |
| Other Noncurrent Assets | 67,301 | - 0 | - 0 |
| Total non-current assets | 1,329,955 | 3,324,302 | 2,842,147 |
| Total assets | $50,112,096 | $132,952,785 | $116,682,171 |
| Liabilities & Equity: | |||
| Current liabilities: | |||
| Accounts Payable | (8,934,591) | (19,488,866) | (12,850,648) |
| Wages Payable | (36,838) | (264,513) | (198,384) |
| FICA Employee Withholding | (1,648) | (9,452) | (7,089) |
| Medicare Withholding | (730) | (12,785) | (9,589) |
| Federal Payroll Taxes Payable | (7,541) | (132,256) | (99,192) |
| State Payroll Taxes Payable | (3,519) | (61,630) | (46,200) |
| FICA Employer Withholding | (1,648) | (9,452) | (7,089) |
| Medicare Employer Withholding | (730) | (12,785) | (9,589) |
| Income Taxes Receivable/Payable | 0 | (3,205,440) | (6,011,540) |
| Line of Credit | (12,500,000) | (52,231,360) | (47,481,737) |
| Current Portion LT Note Payable | 0 | (677,640) | (721,480) |
| Interest payable | 0 | (470,311) | (568,429) |
| Bonuses payable | 0 | (504,000) | (459,000) |
| Dividend payable | (6,000,000) | (15,250,000) | (15,000,000) |
| Total current liabilities | 27,487,245 | 92,330,490 | 83,469,966 |
| Non-current liabilities: | |||
| Long-Term Note Payable | 12,762,360 | 12,040,880 | |
| Total Liabilities | 27,487,245 | 105,092,850 | 95,510,846 |
| Common Stock | 10,131,250 | 10,131,250 | 10,131,250 |
| Paid-in Capital | 9,278,750 | 9,278,750 | 9,278,750 |
| Retained Earnings | 3,214,851 | 8,449,935 | 1,761,325 |
| Total shareholders' equity | 22,624,851 | 27,859,935 | 21,171,325 |
| Total liabilities and equity | 50,112,096 | 132,952,785 | 116,682,171 |
| One of the differences that will occur if the IFRS is employed instead of the US GAAP is the accounting for the inventories. The inventories will be accounted using only the LIFO method only while the US GAAP alliws for either the LIFO or FIFO approach. Similarly, the IFRS has no differentiation of the liabilities into current and non-current liabilities unlike the US GAAP. |
Statement of Cash Flows
| Use this Worksheet to complete a Statement of Cash Flows | ||
| Check Figures: | ||
| 2015 Net Cash from Operating Activities | $ 20,775,751 | |
| 2014 Net Cash from Investing Activities | $ (2,575,449) | |
| 2015 Net Increase (Decrease) in Cash | $ 213,488 | |
| 2014 | 2015 | |
| Net income | 20,485,084 | 8,311,390 |
| Adjustments to reconcile for net income to net cash | ||
| Depreciation expense | 581,102 | 617,155 |
| Bad Debt Expense | 5,875,403 | 13,900,800 |
| Decrease (Increase) in accounts receivable | -36,549,297 | 8,184,424 |
| Decrease (Increase) in inventory | -43,448,861 | 7,783,113 |
| Decrease(increase) in prepaid insurance | -1,001,331 | 162,752 |
| Decrease(increase) in prepaid rent | 250000 | 0 |
| Decrease(increase) in office supplies | -306 | 383 |
| Decrease(increase) Checking Account - Operating | -5212 | 8966 |
| Decrease(increase) MMKT Accounts | -176,873 | -222,402 |
| Increase(decrease)Accounts Payable | 10,554,275 | -6,638,218 |
| Increase(decrease)Wages Payable | 227,675 | -66,129 |
| Increase(decrease)FICA Employee Withholding | 7,804 | -2,363 |
| Increase(decrease)Medicare Withholding | 12,055 | -3,196 |
| Increase(decrease)Federal Payroll Taxes Payable | 124,715 | -33,064 |
| Increase(decrease)State Payroll Taxes Payable | 58,111 | -15,430 |
| Increase(decrease)FICA Employer Withholding | 7,804 | -2,363 |
| Increase(decrease)Medicare Employer Withholding | 12,055 | -3,196 |
| Increase(decrease)Income Taxes Receivable/Payable | 3,205,440 | 2,806,100 |
| Increase(decrease)Line of Credit | 39,731,360 | -4,749,623 |
| Increase(decrease)Current Portion LT Note Payable | 677,640 | 43,840 |
| Increase(decrease)Interest payable | 470,311 | 98,118 |
| Increase(decrease)Bonuses payable | 504,000 | -45,000 |
| Increase(decrease)Dividend payable | 9,250,000 | -250,000 |
| Net cash provided by operating activities | 10,852,954 | 29,886,057 |
| Investing activities | ||
| Land improvements sold | 163,618 | |
| New Equipement | -2,739,067 | |
| Net cash used in investing activities | -2,575,449 | |
| Financing Activities: | ||
| Cash dividend | -6000000 | -15250000 |
| Net increase(decrease) in cash | 2,277,505 | 14,636,057 |
| Cash at the beginning | $2,483 | 2,279,988 |
| Cash at the end of year | 2,279,988 | 16,916,045 |
BS Analysis
| BS Horizontal Analysis | Vertical Analysis | ||||||||||
| 2013 | 2014 | 2015 | 2013 | 2014 | 2015 | 2013 | 2014 | 2015 | |||
| Current assets: | |||||||||||
| Cash on Hand | $2,483 | $2,459 | $2,511 | 100.00% | 99.03% | 101.13% | 0.00% | 0.00% | 0.00% | ||
| Checking Account - Operating | 247,646 | 252,858 | 243,892 | 100.00% | 102.10% | 98.48% | 0.49% | 0.19% | 0.21% | ||
| MMKT Accounts | 806,288 | 983,161 | 1,205,563 | 100.00% | 121.94% | 149.52% | 1.61% | 0.74% | 1.03% | ||
| Investments - Trading | 6,935,712 | 6,850,198 | 6,978,923 | 100.00% | 98.77% | 100.62% | 13.84% | 5.15% | 5.98% | ||
| Accounts Receivable | 20,513,628 | 56,472,091 | 49,042,528 | 100.00% | 275.29% | 239.07% | 40.94% | 42.48% | 42.03% | ||
| Allowance for Doubtful Accounts | -1,578,525 | -2,387,691 | -2,942,552 | 100.00% | 151.26% | 186.41% | -3.15% | -1.80% | -2.52% | ||
| Other Receivables | 0 | 1,400,000 | 1,200,000 | 0.00% | 1.05% | 1.03% | |||||
| Inventory | 23,531,507 | 75,351,471 | 65,990,780 | 100.00% | 320.22% | 280.44% | 46.96% | 56.68% | 56.56% | ||
| Reserve for Inventory Obsolescence | -3,765,000 | -12,136,103 | -10,558,525 | 100.00% | 322.34% | 280.44% | -7.51% | -9.13% | -9.05% | ||
| Prepaid Insurance | 1,829,143 | 2,830,474 | 2,667,722 | 100.00% | 154.74% | 145.85% | 3.65% | 2.13% | 2.29% | ||
| Prepaid Rent | 250,000 | 0 | 0 | 100.00% | 0.00% | 0.00% | 0.50% | 0.00% | 0.00% | ||
| Office Supplies | 9,259 | 9,565 | 9,182 | 100.00% | 103.30% | 99.17% | 0.02% | 0.01% | 0.01% | ||
| Total currrent assets | $48,782,141 | $129,628,483 | $113,840,024 | 100.00% | 265.73% | 233.36% | 97.35% | 97.50% | 97.56% | ||
| Non-current assets: | 0.00% | ||||||||||
| Land | 146,250 | 131,040 | 131,040 | 100.00% | 89.60% | 89.60% | 0.29% | 0.10% | 0.11% | ||
| Buildings and Land Improvements | 779,882 | 698,775 | 833,775 | 100.00% | 89.60% | 106.91% | 1.56% | 0.53% | 0.71% | ||
| Machinery, Equipment, Office Furniture | 541,522 | 3,280,589 | 3,280,589 | 100.00% | 605.81% | 605.81% | 1.08% | 2.47% | 2.81% | ||
| Accum. Depreciation | -205,000 | -786,102 | -1,403,257 | 100.00% | 383.46% | 684.52% | -0.41% | -0.59% | -1.20% | ||
| Other Noncurrent Assets | 67,301 | 0 | 0 | 100.00% | 0.00% | 0.00% | 0.13% | 0.00% | 0.00% | ||
| Total non-current assets | 1,329,955 | 3,324,302 | 2,842,147 | 100.00% | 249.96% | 213.70% | 2.65% | 2.50% | 2.44% | ||
| Total assets | $50,112,096 | $132,952,785 | $116,682,171 | 100.00% | 265.31% | 232.84% | 100.00% | 100.00% | 100.00% | ||
| Liabilities & Equity: | |||||||||||
| Current liabilities: | |||||||||||
| Accounts Payable | -8,934,591 | -19,488,866 | -12,850,648 | 100.00% | 218.13% | 143.83% | -17.83% | -14.66% | -11.01% | ||
| Wages Payable | -36,838 | -264,513 | -198,384 | 100.00% | 718.04% | 538.53% | -0.07% | -0.20% | -0.17% | ||
| FICA Employee Withholding | -1,648 | -9,452 | -7,089 | 100.00% | 573.54% | 430.16% | -0.00% | -0.01% | -0.01% | ||
| Medicare Withholding | -730 | -12,785 | -9,589 | 100.00% | 1751.37% | 1313.56% | -0.00% | -0.01% | -0.01% | ||
| Federal Payroll Taxes Payable | -7,541 | -132,256 | -99,192 | 100.00% | 1753.83% | 1315.37% | -0.02% | -0.10% | -0.09% | ||
| State Payroll Taxes Payable | -3,519 | -61,630 | -46,200 | 100.00% | 1751.35% | 1312.87% | -0.01% | -0.05% | -0.04% | ||
| FICA Employer Withholding | -1,648 | -9,452 | -7,089 | 100.00% | 573.54% | 430.16% | -0.00% | -0.01% | -0.01% | ||
| Medicare Employer Withholding | -730 | -12,785 | -9,589 | 100.00% | 1751.37% | 1313.56% | -0.00% | -0.01% | -0.01% | ||
| Income Taxes Receivable/Payable | 0 | -3,205,440 | -6,011,540 | 0.00% | -2.41% | -5.15% | |||||
| Line of Credit | -12,500,000 | -52,231,360 | -47,481,737 | 100.00% | 417.85% | 379.85% | -24.94% | -39.29% | -40.69% | ||
| Current Portion LT Note Payable | 0 | -677,640 | -721,480 | 0.00% | -0.51% | -0.62% | |||||
| Interest payable | 0 | -470,311 | -568,429 | 0.00% | -0.35% | -0.49% | |||||
| Bonuses payable | 0 | -504,000 | -459,000 | 0.00% | -0.38% | -0.39% | |||||
| Dividend payable | -6,000,000 | -15,250,000 | -15,000,000 | 100.00% | 254.17% | 250.00% | -11.97% | -11.47% | -12.86% | ||
| Total current liabilities | 27,487,245 | 92,330,490 | 83,469,966 | 100.00% | 335.90% | 303.67% | 54.85% | 69.45% | 71.54% | ||
| Non-current liabilities: | |||||||||||
| Long-Term Note Payable | 0 | 12,762,360 | 12,040,880 | 0.00% | 9.60% | 10.32% | |||||
| Total Liabilities | 27,487,245 | 105,092,850 | 95,510,846 | 100.00% | 382.33% | 347.47% | 54.85% | 79.05% | 81.86% | ||
| Common Stock | 10,131,250 | 10,131,250 | 10,131,250 | 100.00% | 100.00% | 100.00% | 20.22% | 7.62% | 8.68% | ||
| Paid-in Capital | 9,278,750 | 9,278,750 | 9,278,750 | 100.00% | 100.00% | 100.00% | 18.52% | 6.98% | 7.95% | ||
| Retained Earnings | 3,214,851 | 8,449,935 | 1,761,325 | 100.00% | 262.84% | 54.79% | 6.42% | 6.36% | 1.51% | ||
| Total shareholders' equity | 22,624,851 | 27,859,935 | 21,171,325 | 100.00% | 123.14% | 93.58% | 45.15% | 20.95% | 18.14% | ||
| Total liabilities and equity | 50,112,096 | 132,952,785 | 116,682,171 | 100.00% | 265.31% | 232.84% | 100.00% | 100.00% | 100.00% |
IS Analysis
| Horizontal Analysis | Vertical Analysis | ||||||||||
| 2013 | 2014 | 2015 | 2013 | 2014 | 2015 | 2013 | 2014 | 2015 | |||
| Revenues | |||||||||||
| Sales | 307,716,148 | 271,839,067 | 288,876,206 | 100.00% | 88.34% | 93.88% | 100.00% | 100.00% | 100.00% | ||
| Sales Returns | (5,621,979) | (12,432,247) | (23,110,096) | 100.00% | 221.14% | 411.07% | 1.83% | 4.57% | 8.00% | ||
| Net-sales | 302,094,169 | 259,406,820 | 265,766,110 | 100.00% | 85.87% | 87.97% | 98.17% | 95.43% | 92.00% | ||
| Cost of Goods Sold | (176,961,437) | (161,029,981) | (179,103,248) | 100.00% | 91.00% | 101.21% | 57.51% | 59.24% | 62.00% | ||
| Gross profit | 125,132,732 | 98,376,839 | 86,662,862 | 100.00% | 78.62% | 69.26% | 40.66% | 36.19% | 30.00% | ||
| Operating expenses | |||||||||||
| Administrative Wages Expense | 21,094,132 | 18,344,399 | 19,706,506 | 100.00% | 86.96% | 93.42% | 6.86% | 6.75% | 6.82% | ||
| Advertising Expense | 1,121,425 | 1,161,276 | 1,058,391 | 100.00% | 103.55% | 94.38% | 0.36% | 0.43% | 0.37% | ||
| Auto Expenses | 261,218 | 235,763 | 214,001 | 100.00% | 90.26% | 81.92% | 0.08% | 0.09% | 0.07% | ||
| Bad Debt Expense | 2,028,032 | 5,875,403 | 13,900,800 | 100.00% | 289.71% | 685.43% | 0.66% | 2.16% | 4.81% | ||
| Bonus Expense | 0 | 504,000 | 459,000 | 0.00% | 0.19% | 0.16% | |||||
| Depreciation Expense | 166,250 | 581,102 | 617,155 | 100.00% | 349.54% | 371.22% | 0.05% | 0.21% | 0.21% | ||
| Freight | 5,378,689 | 4,749,095 | 4,325,068 | 100.00% | 88.29% | 80.41% | 1.75% | 1.75% | 1.50% | ||
| Insurance Expense | 1,067,428 | 1,045,085 | 951,774 | 100.00% | 97.91% | 89.17% | 0.35% | 0.38% | 0.33% | ||
| Legal and Professional Expense | 4,506,417 | 11,037,039 | 8,987,069 | 100.00% | 244.92% | 199.43% | 1.46% | 4.06% | 3.11% | ||
| Maintenance Expense | 76,420 | 96,020 | 87,641 | 100.00% | 125.65% | 114.68% | 0.02% | 0.04% | 0.03% | ||
| Miscellaneous Office Expense | 21,279 | 27,803 | 25,390 | 100.00% | 130.66% | 119.32% | 0.01% | 0.01% | 0.01% | ||
| Payroll Tax Expense | 1,938,736 | 1,767,149 | 1,609,342 | 100.00% | 91.15% | 83.01% | 0.63% | 0.65% | 0.56% | ||
| Pension/Profit-Sharing Plan Ex | 3,750,000 | 3,696,000 | 3,366,000 | 100.00% | 98.56% | 89.76% | 1.22% | 1.36% | 1.17% | ||
| Phone | 95,467 | 57,911 | 53,651 | 100.00% | 60.66% | 56.20% | 0.03% | 0.02% | 0.02% | ||
| Postal | 160,042 | 87,140 | 79,360 | 100.00% | 54.45% | 49.59% | 0.05% | 0.03% | 0.03% | ||
| Property Tax Expense | 100,619 | 110,252 | 101,319 | 100.00% | 109.57% | 100.70% | 0.03% | 0.04% | 0.04% | ||
| Rent or Lease Expense | 3,254,357 | 1,370,273 | 2,230,615 | 100.00% | 42.11% | 68.54% | 1.06% | 0.50% | 0.77% | ||
| Research and Development | 38,639,554 | 532,425 | 3,080,313 | 100.00% | 1.38% | 7.97% | 12.56% | 0.20% | 1.07% | ||
| Utilities | 169,554 | 170,765 | 155,600 | 100.00% | 100.71% | 91.77% | 0.06% | 0.06% | 0.05% | ||
| Warehouse Salaries | 5,791,730 | 5,848,120 | 5,270,689 | 100.00% | 100.97% | 91.00% | 1.88% | 2.15% | 1.82% | ||
| Warranty Expense | 1,375,352 | 1,297,104 | 1,422,381 | 100.00% | 94.31% | 103.42% | 0.45% | 0.48% | 0.49% | ||
| Total operating expenses | 90,996,701 | 58,594,124 | 67,702,065 | 100.00% | 64.39% | 74.40% | 29.57% | 21.55% | 23.44% | ||
| Operating profit | 34,136,031 | 39,782,715 | 18,960,797 | 100.00% | 116.54% | 55.54% | 11.09% | 14.63% | 6.56% | ||
| Other income(expenses): | |||||||||||
| Income from Investments | 665,079 | 658,672 | 549,387 | 100.00% | 99.04% | 82.60% | 0.22% | 0.24% | 0.19% | ||
| Unrealized Gains and (Losses) - Investments | (64,288) | (85,514) | 128,725 | 100.00% | 133.02% | -200.23% | -0.02% | -0.03% | 0.04% | ||
| Interest Income | 255,379 | 147,707 | 142,168 | 100.00% | 57.84% | 55.67% | 0.08% | 0.05% | 0.05% | ||
| Interest expense | (1,093,750) | (3,373,056) | (2,942,147) | 100.00% | 308.39% | 269.00% | -0.36% | -1.24% | -1.02% | ||
| Total other income(losses) | (237,580) | (2,652,191) | (2,121,867) | 100.00% | 1116.34% | 893.12% | -0.08% | -0.98% | -0.73% | ||
| Taxable income | 33,898,451 | 37,130,524 | 16,838,930 | 100.00% | 109.53% | 49.67% | 11.02% | 13.66% | 5.83% | ||
| Income Tax Expense - Federal | (2,956,250) | (14,142,240) | (7,269,540) | 100.00% | 478.38% | 245.90% | -0.96% | -5.20% | -2.52% | ||
| Income Tax Expense - State | (536,250) | (2,503,200) | (1,258,000) | 100.00% | 466.80% | 234.59% | -0.17% | -0.92% | -0.44% | ||
| Loss on Legal Settlement | (23,965,000) | - 0 | - 0 | 100.00% | 0.00% | 0.00% | -7.79% | 0.00% | 0.00% | ||
| Net-income | 6,440,951 | 20,485,084 | 8,311,390 | 100.00% | 318.04% | 129.04% | 2.09% | 7.54% | 2.88% |
Ratios
| 2013 | 2014 | 2015 | Competitor (Columbia Sportswear Company) | Industry | |
| Liquidity ratios: | |||||
| current ratio = current assets/current liabilities | 1.7747191834 | 1.4039549798 | 1.3638441401 | 3.41 | 1.78 |
| Quick ratio = immediate current assets/current liabilities | 0.4178532261 | 0.4564115669 | 0.4467561302 | 2.03 | 0.67 |
| Cash ratio = cash and cash equivalents/ current liabilities | 9.033E-05 | 0.0000266325 | 0.0000300827 | 0.716 | 0.23 |
| Profitability ratios: | |||||
| return on equity = net income/shareholders' equity | 28.47% | 15.41% | 7.12% | 12.71% | 14.72% |
| profit margin = net income/net sales revenue | 2.13% | 7.90% | 3.13% | 7.49% | 8.89% |
| gross-profit margin = gross profit/net sales revenue | 41.42% | 37.92% | 33.74% | 41.56% | 38.73% |
| Solvency ratios: | |||||
| debt ratio = total liabilities/total assets | 54.85% | 79.05% | 81.86% | 37.03% | 55.49% |
| debt-equity ratio = total liabilities/total equity | 1.2149138573 | 3.7721857571 | 4.5113305851 | 0.01 | 1.27 |
| interest coverage ratio = EBIT/interest expense | 31.2100854857 | 11.7942646075 | 6.4445444092 | 12.17 | 9.38 |
