The comparative balance sheets of Oklahoma Corporation are presented here:

Instructions

(a) Prepare a horizontal analysis of the balance sheet data for Oklahoma Corporationusing 1997 as a base. (Show the amount of increase or decrease as well.)

(b) Prepare a vertical analysis of the balance sheet data for Oklahoma Corporation for1998.

Transcribed Image Text:

OKLAHOMA CORPORATION Comparative Balance Sheets December 31 Assets Current assets Property, plant, and equipment (net) Intangibles Total assets Liabilities and Stockholders' Equity 1998 1997 $ 72,000 $ 80,000 99,000 24,000 $195,000 90,000 40,000 $210,000 Current liabilities $ 40,800 Long-term liabilities 138,000 $ 48,000 150,000 Stockholders' equity 16,200 12,000 Total liabilities and stockholders' equity $195,000 $210,000