DB 8 Research Paper Example | Topics and Well Written Essays - 1000 words

DB 8 - Research Paper ExampleSlight improvements were realized from the year cease 2008 to the year ended 2009 as compared to the partage improvements in values from the year ended 2009 to the year ended 2010 that were greater. simoleons gross revenue and cost of sales change magnitude by one percent from the year ended 2008 and by five percent and six percent respectively from the year ended 2009 to the year ended 2010. The change in unadulterated profit from 2008 to 2009 was therefore a result of increased number of sold units because the changes in sales and cost of the sales were the same. Cost of sales however increased by a larger margin than change in illuminate sales, in the following period, and this was a setback to tendency in gross profit. It could be attributed to production inefficiencies and other sales factors (Delaney and Whittington, 2010). Even though operating income had an increasing trend over the three-year period, the pattern was slightly different from the trend in net sales and cost of sales. ... The trend in operating income was however symmetrical to the trend in net income to indicate a constant trend in non-operational expenses (Rich, Jones, Mowen and Haansen, 2009). The trend digest of RadioShack Corporation from the year 2008 to the year 2010 therefore identifies increased operations that translate to increased profitability level. Average operational costs likewise increased in the period and was more significant in the year ended 2010, having increased at a higher rate than rate of maturation in gross profit. The Corporation should therefore take care to balance its sales objectives with the involved costs of achieving the objectives in order to avoid higher sales levels that lead to losses. The companys net income however maintained a growth trend by the year 2010 and positive prospects can be predicted (Harrison, Horngren, 2008). Updated trend analysis up to the year 2012 The corporations data was updated for net sa les, cost of sales, gross profit, operating income and net income up to the year 2012 and trend analysis conducted. The following table shows the generated indices for the items from the year ended 2008 to the year ended 2012. Trend analysis 2012 2011 2010 2009 2008 Net sales 100.80% 103.60% 106% one hundred one% 100% Cost of sales 117.10% 111.50% 107% 101% 100% Gross profit (Net sales Cost of sales) 81.20% 94.20% 104.58% 102.08% 100% Gross profit rate _ _ 105% 102% 100% Operating income -18.90% 48.10% 116% 115% 100% Net income (net loss) -73.60% 38.10% 109% 108% 100% Trend in RadioShack Corporations performance assumed a decreasing pattern from the year 2010 apart from cost of sales that act to rise. Trend in net sales fell from the year ended 2010, was almost equivalent to the net sales value in the year ended 2008 and