Accounting Summary Pucker Up Lemonade Co Season 2.docx

Accounting Summary Pucker Up Lemonade Co Season 2.docx -...

Info icon This preview shows pages 1–3. Sign up to view the full content.

Running Head: ACCOUNTING SUMMARY 1 Accounting Summary Pucker Up Lemonade Co. Season Two Stephani Christenson BUS 599 Introduction to Quantitative Principles Dr. Alfretta Earnest January 21, 2018
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

ACCOUNTING SUMMARY 2 Accounting Summary Pucker Up Lemonade Co. Season Two After a successful first week in the lemonade business, Pucker Up Lemonade Co. decided to continue tracking their financial performance and convert it to ratios so that that they would be able to compare their performance with their beverage idol, Sonic. While the sales from two weeks in a single lemonade stand certainly pale in comparison to a national chain, comparing the financial ratios of the two companies that are best known for their specialty beverages will guide the partners in expanding their business outside of the fair grounds and help them determine if their performance is in alignment with the industry norms. Comparisons will be made between the balance sheets, income statements and financial ratios of Pucker Up Lemonade Co.’s season one and season two performance as well as their overall performance in comparison to Sonic’s company only performance, excluding franchisee information. Description of the Business Pucker Up Lemonade Co., is a family run beverage stand located in the Maricopa County Fairgrounds. Fair regulations limit sales to specializing in a single product, lemonade, and the hours of operation are limited to the hours that the fair is open. The tight control that is exercised by the fair board severely impacts the ability of the company to grow sales, but it is providing an excellent foundation for the partnership to start their business. Pucker Up Lemonade Co. looks to Sonic Drive-Ins for comparison since they are self-described as having specialty drinks as one of their signature food items [Son17]. Overview of Business Performance In comparison to Sonic, Pucker Up Lemonade Co. performed well in season over season sales. Sonic noted a 3.3% decline in same store sales and a $477.3 million decrease in revenue
Image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.
  • Spring '11
  • MR
  • Accounting, Balance Sheet, Generally Accepted Accounting Principles, Lemonade Stand Week 2, Pucker Up Lemonade Co.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern