1、y, Dells cost of goods sold of 82.1% is significantly less (4.3%) than Gateways cost of goods sold of 86.4%. In addition, Gateways operating expenses are over one-fourth of sales, while Dells operating expenses are 9.9% of sales. The result is that Dell generates an operating income of 8.0% of sales
2、, while Gateway generates a loss of 12.2% of sales. Obviously, Gateway must improve its operations if it is to remain in business and remain competitive with Dell.4-1e, c, g, b, f, a, d4-2a.Income statement: 3, 8, 9b.Balance sheet: 1, 2, 4, 5, 6, 7, 104-3a.Asset: 1, 4, 5, 6, 10b.Liability: 9, 12c.Re
3、venue: 2, 7d.Expense: 3, 8, 114-41.f2.c3.b4.h5.g6.j7.a8.i9.d10.e45ITHACA SERVICES CO.Work SheetFor the Year Ended January 31, 2006AdjustedTrial BalanceAdjustmentsTrial BalanceAccount TitleDr.Cr.Dr.Cr.Dr.Cr.1Cash8812Accounts Receivable50(a)75723Supplies8(b)5334Prepaid Insurance12(c)6645Land505056Equi
4、pment323267Accum. Depr.Equip.2(d)5778Accounts Payable262689Wages Payable0(e)11910Terry Dagley, Capital1121121011Terry Dagley, Drawing881112Fees Earned60(a)7671213Wages Expense16(e)1171314Rent Expense881415Insurance Expense0(c)661516Utilities Expense661617Depreciation Expense0(d)551718Supplies Expens
5、e0(b)551819Miscellaneous Expense221920Totals2002002424213213 20ContinueITHACA SERVICES CO.Work SheetFor the Year Ended January 31, 2006AdjustedIncomeBalanceTrial BalanceStatementSheetAccount TitleDr.Cr.Dr.Cr.Dr.Cr.1Cash8812Accounts Receivable575723Supplies3334Prepaid Insurance6645Land505056Equipment
6、323267Accum. Depr.Equip.7778Accounts Payable262689Wages Payable11910Terry Dagley, Capital1121121011Terry Dagley, Drawing881112Fees Earned67671213Wages Expense17171314Rent Expense881415Insurance Expense661516Utilities Expense661617Depreciation Expense551718Supplies Expense551819Miscellaneous Expense2
7、21920Totals21321349671641462021Net income (loss)181821226767164164224-6ITHACA SERVICES CO.Income StatementFor the Year Ended January 31, 2006Fees earned$67Expenses:Wages expense$17Rent expense8Insurance expense6Utilities expense6Depreciation expense5Supplies expense5Miscellaneous expense2Total expenses49Net income$18ITHACA SE
