Accounting Case Study on General Mills

public Mills, Inc. Financial Accounting Case Study Module 1: A. general Mills mix in Statements of Earnings: 1. The recorded sale core of almost $8 billion is non the effective tally of specie collected. The amount of $8 billion includes cash and credit sales. 2. gross taxation change magnitude separately stratum from 2000 to 2002. The release among the year 2000 and 2001 was a 5.35% profit (5,450-5,173/5,173 = .0535). The difference between the year 2001 and 2002 was a 45.85% increase (7,949-5,450/5,450 = .4585). 3. The largest get along down for General Mills for the years 2000, 2001, and 2002 was the identical; everywhere 50% of the taxation each year went towards the equal of sales. Sales in 2002 were the largest, slightly 7% more than the cardinal former years. 2000: (2,698/5,173) = .522 = 52.2% 2001: (2,841/5,450 = .521 = 52.1% 2002: (4,767/7,949) = .599 = 59.9% 4. Net Income: 2000: $614 million 2001: $665 million 2002: $458 million When canvas the sugar income figures for the past trinity years, it is seen that between 2000 and 2001, the net income increase by $51 million, notwithstanding between 2001 and 2002, the net income reduced by $207 million. 5.

A companys variant bell is usually influenced by the amount of net income because when conclusion the expenditure of the stock, you must classify the number of stocks by the net income. So, the high the net income, the unhorse the price of stocks, which is what buyers look for (means break out profit). 6. scour though General Mills paid dividends in 2000, 2001 and 2002, the like total dividend payments did not appear as an expense on the income avowal because dividends ar not an expense; they be a financing use that is reported on the statement of stockholders equity. They are payments that are... If you want to get a full essay, nightclub it on our website: Ordercustompaper.com

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