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2. The balance sheet and income statement for Carver Enterprises Inc. are as follows: Carver Enterprises Inc. Balance Sheet for December 31, 2019 Assets 2019
2. The balance sheet and income statement for Carver Enterprises Inc. are as follows: Carver Enterprises Inc. Balance Sheet for December 31, 2019 Assets 2019 Cash and marketable securities 500 Account receivables 6,000 9,500 16,000 17,000 Inventory Total current assets Net plant and equipment Total assets 33.000 Liabilities and owners' equity Account payable 7,200 sort term debt 6,800 14,000 7,000 Total current liabilities Long-term liabilities Total liabilities Total owners' equity Total liabilities and owners' equity 21,000 12,000 33,000 Carver Enterprises Inc. Income Statement for December 31, 2019 Revenues 30,000 Cost of goods sold Gross profit Operating expenses Net operating income Interest expenses (20,000) 10,000 (8000) 2,000 (900) Earnings before taxes 1,100 Taxes (400) Net income 700 a. Prepare a common-size income statement for Carver Enterprises. b. Write up your assessment of the firms' financial condition.
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