StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Deloitte 09-8 Classified information - Case Study Example

Cite this document
Summary
Remaining increase in Total Net Sales ($ 4.7 million) was because of increase in average transaction value (higher average retail sales per unit & favorable customer…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER94% of users find it useful
Case Study Deloitte Case 09-8 Classified information
Read Text Preview

Extract of sample "Deloitte 09-8 Classified information"

Case Study Deloitte Case 09-8 ified information - Income ment Presentation The income ment presentation for the Lads &and Lassies (L&L) company is as shown below:Net Sales:2005 $ 74.5 million (Contribution by Sassy Spa Division: 3.9 million)2006 $ 86.5 Million (Contribution by Sassy Spa Division: 11.2 million)Increase in income in financial year 2006 from preceding year (2005) = $ 12 million (Percent increase = 16.1). Remaining increase in Total Net Sales ($ 4.7 million) was because of increase in average transaction value (higher average retail sales per unit & favorable customer response to vintage prints.

Table:YearSalesOperating IncomeNon-operating IncomeExpenseGross Profit200574.574.5046.528200686.586.54.456.130.4(All figures in$ millions)Gross Profit = Net Sales - Cost of sales:2005: $ 28 million2006: $ 30.4 million (An increase of $ 2.4 million; 8.6%)Cost of Sales [expenses for acquiring & producing inventory (product cost + freight-in + import cost + direct labor cost)] - depreciation =2005: $ 46.5 million2006: $ 56.1 millionIncrease in 2006 = $ 9.6 million (20.6%)In financial year 2005, L&L had total net sales of $ 74.

5 million with the cumulative cost of sales being $ 46.5 million, yielding a gross profit of $ 28 million. Contribution of the ‘Sassy Spa Division’ in the financial year 2005 was a mere $ 3.9 million.In the year 2006, the gross profit increased by 8.6%, with the total net sales increasing to a figure of $ 86.5 million, the sassy Spa division yielding a net profit of $ 11.2 million. Contribution from the ‘Sassy Spa Division,’ therefore, increased by a whopping 287.18 %. This shows that the other divisions did not contribute much to increase in sales revenue in 2006.

Gain on Sale of Corporate HQ = $ 1.7 million. Codification ‘225-10-S99-2’ states that income earned from transactions with related parties shall be disclosed under the heading of other revenues.Class Action Settlement: Lawsuit against supplier settled in 2006 to net a yield of $ 2.7 millionContribution to the total profit in the year 2006 was therefore from sale of a fixed asset i.e. the sale of corporate HQ ($ 1.7 million), and winning a lawsuit against a supplier yielding further revenue of $ 2.7 million. This contributed to a non-operating income of $ 4.

4 million in the financial year 2006. ‘420-10-S99’ codification standard defines such income as restructuring charges and may not be presented in an income statement as extraordinary items. Paragraph ‘225-20-45-16’ states that items which do not meet the classification criteria of an extraordinary item should be reported as component of income. Therefore, this figure can be added to the gross profit in 2006, yielding net revenue of $ 34.8 million. ReferencesPresentation of Financial Statements, Retrieved June 3, 2012 from: https://asc.fasb.org/topic&trid=2122149&nav_type=left_nav&analyticsAssetName=area_page_left_nav_topic

Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Case Study Deloitte Case 09-8 Classified information”, n.d.)
Case Study Deloitte Case 09-8 Classified information. Retrieved from https://studentshare.org/miscellaneous/1598057-case-study-deloitte-case-09-8-classified-information
(Case Study Deloitte Case 09-8 Classified Information)
Case Study Deloitte Case 09-8 Classified Information. https://studentshare.org/miscellaneous/1598057-case-study-deloitte-case-09-8-classified-information.
“Case Study Deloitte Case 09-8 Classified Information”, n.d. https://studentshare.org/miscellaneous/1598057-case-study-deloitte-case-09-8-classified-information.
  • Cited: 0 times

CHECK THESE SAMPLES OF Case Study Deloitte Case 09-8 Classified information

The Strategy of Whole Foods Market

Whole Foods Market's corporate mission statement states that the company aspires “to improve the health, well-being, and healing of both people and the… To live up to this aspiration the company has chosen to concentrate its activities in the natural and organic foods industry that promotes healthy diet options, sustainable agriculture and protecting the environment....
3 Pages (750 words) Case Study

Corporate Legal and Ethical Analysis

Finally, the disclosure of sensitive information for a one day “contract” can be said to be tantamount to leakage of information for a bribe because there was no job done except for the information they provided.... However, in this case, they left their job in Singapore and provided a service to another party....
4 Pages (1000 words) Case Study

National Labor Relations Board

If the social media is to be used by employees then the information disclosed should be objective, unbiased and be justified by NLRB under the labor relations Act.... The employer in the case fired five employees for publicizing their workplace woes via YouTube video.... Safety of employees in their National Labor Relations Board National Labor Relations Board The case features NLRB's involvement in a Construction Contractor case, in Lakewood, Washington....
1 Pages (250 words) Case Study

The Chinese Fireworks Industry

Reason being; they possess the following advantages: they have unlimited access to information; agents on the ground; and direct contacts with factories.... The best participants in the industry however are case Study for Chinese Fireworks Industry The fireworks industry faces various challenges....
1 Pages (250 words) Case Study

BAs Mission and Vision Statement

However, the macro environment is susceptible to a Case Study The macro environment of the airline industry that BA and the airline industry operates in can be classified to be of duopoly.... The strategies of Ryanair can be classified as those that focus on different market situations and make an airline be ready for any eventuality.... The strategies of Eos can be classified as misplaced, unfocused and does not reflect the market demand of the market where it operates....
2 Pages (500 words) Case Study

Study case (Information Resources Management)

The reason is that the EA process is implemented in all the ministries and the departments of the Government and it also contain the data and the information which may help in the capital planning and the budgeting process.... If the executives utilize this information availability in a wise manner then they can plan their budgets and investments according to the requirement within different ministries (Multi Year Capital Planning 1).... Reference List:Fukuyama, Francis, ‘What is Governance', An International Journal of Policy, Administration and Institution, Volume 26, Issue 3, (July 23, 2013), page 347 – 368 Grembergen, Wim, ‘IT governance and Its Mechanism', information System Audit and Control System Journal, Volume 1, issue 1, (September 24, 2004), page 16 – 24‘Multi Year Capital Planning', Local Government Management Guide, Issue 2, Chapter 1, (October 12, 2011), page 4 - 8...
2 Pages (500 words) Case Study

Machine Production Records

Helen felt that factors such as quality of input material, worn or "changed-out" dies, and dirty or poorly case 3: Machine Production Records Helen managed a major manufacturing facility that was devoted largely to producing millions of identical small metallic parts.... This case is based on a real production line situation, though the name of the organization and the exact nature of the product have been disguised....
2 Pages (500 words) Case Study

Cultural Aspects and Prevailing Leadership Styles: The Deloitte Company

The Uncertainty Avoidance Index as spelled out by Hofstede is low in the case of Deloitte, precisely because of such flexibility that is allowed.... Employees are also provided with mentors, hence there is no strict hierarchy in place as is the case with high distance cultures.... "Cultural Aspects of the deloitte Company" paper examines prevailing leadership styles at deloitte, the influence of situational variables on leadership styles, factors driving organizational success, and key leadership and cultural challenges facing deloitte....
10 Pages (2500 words) Case Study
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us