ASSETS Cash and cash equivalents Rent security Utility deposits Inventory Property and equipment, net Patents Due from affiliate Goodwill Trade accounts receivable TOTAL ASSETS ASSETS 2022 2021 S 594,774 $ 460,272 23,000 24,851 5,548 2,000 1,457,789 288,478 300,000 29,239 45,000 1,567,477 186,394 275,000 61,300 45,000 1,164,852 1,143,569 3,908,680 $ 3,765,863 2021 2020 LIABILITIES Accounts payable S 759,975 $ 594,687 Long-term loans 223,551 261,822 Pension benefit obligations 125,000 80,227 Current portion of Notes payable 315,244 626,925 Accrued expenses 15,394 7,326 Related party loans 250,000 225,000 Common stock (no par; 500 shares authorized, 60 shr O/S 8,000 8,000 Retained earnings 2,211,516 1,961,876 Total liabilities & stockholders' equity 3,908,680 3,765,863 2022 VERI NET SALES (ALL CASH) $ 12,849,106 $ 15,897,720 COST OF GOODS SOLD 10,010,701 13,005,197 GROSS PROFIT 2,838,404 2,892,523 SELLING AND ADMINISTRATIVE EXPENSES 2,518,235 2,608,475 OPERATING INCOME 320,169 284,048 OTHER INCOME (EXPENSE) Dividend & interest income Rebate income Interest expense Total other income (expense) INCOME BEFORE INCOME TAXES PROVISION FOR INCOME TAXES NET INCOME Required: 957 76,750 (29,899) 47,808 4441 87,000 (39,346) 48,098 367,977 332,146 $ 367,977 S 332,146 Horizontal Analysis FOR BOTH BALANCE SHEET AND INCOME STATEMENT Vertical Analysis FOR 2022 ONLY!!!! Ratios For the statement of income, use Sales as your key element Current ratio Quick ratio Return on assets Gross margin Debt to assets Debt to Equity Accounts receivable turnover for 2022 Average days to collect receivables for 2022 Inventory turnover for 2022 Average days to sell inventory for 2022