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12/31/13 4:45 AM

#27124 RE: BobSinCA #27122

You are correct. Here is a chart created by me:


Periods by Qt. >>> '3/3 '3/2 '3/1 '2/4 '2/3 '2/2 '2/1
Total Revenues: > 464 448 434 422 413 358 300
Cost of Sales >>> 113 108 101 093 091 072 061
Gross Profits: >>> 351 339 333 328 322 286 239
Total Expenses: > 275 294 295 300 204 175 155
Net Profit >>>>>> 075 045 038 028 117 111 084


Cost of sales as percentage of revenues is as follows:
24 24 22 22 22 20 20

Expenses as a percentage of revenues is as follows:
59 66 68 71 45 48 52

Without having to know the type of business or any other details, these numbers show a mismanagement of great proportions. But, for all of those in the know, these numbers are obviously the product of just making things up without management having a clear understanding of how the variables of a business of this nature will play into the accounting numbers.