1. If current assets are $270,000 and total assets are 810,000, what percentage of total assets are current assets? a) 3.5 percent b) 30 percent c) 25 percent d) 33 percent 2. Comparing the amount of a balance sheet item in one year to the amount for the same item in a prior year is called a) common-size analysis. b) vertical analysis. c) horizontal analysis. d) ratio analysis. 3. A firm has liabilities of P30,000 and owner's capital of $90,000. The percentage of total liabilities to total assets is a) 25 percent. b) 20 percent. c) 50 percent. d) 75 percent. 4. A firm had owner's capital of 150,000 in 2013 and 187,500 in 2013. The increase in owner's capital from 2013 to 2014 is a) 12.5 percent b) 20 percent. c) 25 percent. d) 125 percent. 5. If long-term liabilities are $300,000 and total assets are $2,100,000, what percentage of total assets are long-term liabilities? a) 7 Recent b) 16.7 percent c) 12.5 percent d) 14.3 percent