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Assume you are a mid - level executive at Automotive Solutions Inc., and you have been assigned to analyze the company s financial statements for
Assume you are a midlevel executive at Automotive Solutions Inc., and you have been assigned to analyze the companys financial statements for Y and Y and prepare a report for upperlevel organizational leaders. The following tables show the comparative financial statements for Automotive Solutions Inc. The market price of Automotive Solutions Inc. common stock was $ on December Y The market price of Automotive Solutions Inc. common stock was $ on December Y AUTOMOTIVE SOLUTIONS INC. Comparative Statement of Stockholders' Equity For the Years Ended December Y and Y YY Preferred stock Common stock Retained Earnings Preferred stock Common stock Retained Earnings Balances, Jan. $ $ $ $ $ $ Net income Dividends: Preferred stock Common stock Balances, Dec. $ $ $ $ $ $ AUTOMOTIVE SOLUTIONS INC. Comparative Income Statement For the Years Ended December and Y YY Sales $ $ Cost of goods sold Gross profit $ $ Selling expenses $ $ Administrative expenses Total operating expenses $ $ Operating income $ $ Other revenue and expense: Other revenue Other expense interest Income before income tax $ $ Income tax expense Net income $ $ AUTOMOTIVE SOLUTIONS INC. Comparative Balance Sheet December Y and Y Dec. Y Dec. Y Assets Current assets: Cash $ $ Marketable securities Accounts receivable net Inventories Prepaid expenses Total current assets $ $ Longterm investments Property, plant, and equipment net Total assets $ $ Liabilities Current liabilities $ $ Longterm liabilities: Mortgage note payable, $ $ Bonds payable, Total longterm liabilities $ $ Total liabilities $ $ Stockholders' Equity Preferred $ stock, $ par $ $ Common stock, $ par Retained earnings Total stockholders' equity $ $ Total liabilities and stockholders' equity $ $ A Summarize what the financial statements indicate about the companys overall financial health and performance, strengths and weaknesses of the company, B identify positive or negative trends and the risk of investing in the company.
Assume you are a midlevel executive at Automotive Solutions Inc., and you have been assigned to analyze the companys financial statements for Y and Y and prepare a report for upperlevel organizational leaders.
The following tables show the comparative financial statements for Automotive Solutions Inc. The market price of Automotive Solutions Inc. common stock was $ on December Y The market price of Automotive Solutions Inc. common stock was $ on December Y
AUTOMOTIVE SOLUTIONS INC.
Comparative Statement of Stockholders' Equity
For the Years Ended December Y and Y
YY
Preferred stock Common stock Retained Earnings Preferred stock Common stock Retained Earnings
Balances, Jan. $ $ $ $ $ $
Net income
Dividends:
Preferred stock
Common stock
Balances, Dec. $ $ $ $ $ $
AUTOMOTIVE SOLUTIONS INC.
Comparative Income Statement
For the Years Ended December and Y
YY
Sales $ $
Cost of goods sold
Gross profit $ $
Selling expenses $ $
Administrative expenses
Total operating expenses $ $
Operating income $ $
Other revenue and expense:
Other revenue
Other expense interest
Income before income tax $ $
Income tax expense
Net income $ $
AUTOMOTIVE SOLUTIONS INC.
Comparative Balance Sheet
December Y and Y
Dec. Y Dec. Y
Assets
Current assets:
Cash $ $
Marketable securities
Accounts receivable net
Inventories
Prepaid expenses
Total current assets $ $
Longterm investments
Property, plant, and equipment net
Total assets $ $
Liabilities
Current liabilities $ $
Longterm liabilities:
Mortgage note payable, $ $
Bonds payable,
Total longterm liabilities $ $
Total liabilities $ $
Stockholders' Equity
Preferred $ stock, $ par $ $
Common stock, $ par
Retained earnings
Total stockholders' equity $ $
Total liabilities and stockholders' equity $ $
A Summarize what the financial statements indicate about the companys overall financial health and performance, strengths and weaknesses of the company,
B identify positive or negative trends and the risk of investing in the company.
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