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balance sheet and income statement vertical analysis Horizontal Analysis ABC company percentages change in % difference percentage 2015 2016 2015 2016 from year to year
balance sheet and income statement | vertical analysis | Horizontal Analysis | ||||||||||||
ABC company | percentages | change in % | difference | percentage | ||||||||||
2015 | 2016 | 2015 | 2016 | from year to year | 2016-2015 | base 2015 | ||||||||
balance sheet | balance sheet | balance sheet | ||||||||||||
cash | 460 | 300 | 22.12% | 19.87% | 2.25% | (160.00) | -35% | |||||||
AR | 620 | 480 | 29.81% | 31.79% | 1.98% | (140.00) | -23% | |||||||
inventory | 1000 | 730 | 48.08% | 48.34% | 0.27% | (270.00) | -27% | |||||||
total assets | 2080 | 1510 | 100% | 100% | 0.00% | (570.00) | -27% | |||||||
account payable | 580 | 310 | 27.88% | 20.53% | 7.35% | (270.00) | -47% | |||||||
notes payable | 500 | 100 | 24.04% | 6.62% | 17.42% | (400.00) | -80% | |||||||
commmon stock | 400 | 400 | 19.23% | 26.49% | 7.26% | 0.00 | 0% | |||||||
retained earnings | 600 | 700 | 28.85% | 46.36% | 17.51% | 100.00 | 17% | |||||||
total liabilites and stockholderss equity | 2080 | 1510 | 100.00% | 100.00% | 0.00% | (570.00) | -27% | |||||||
income Statement | income statement | income statement | ||||||||||||
net sales | 550 | 840 | 100% | 100% | 0.00% | 290.00 | 53% | |||||||
COGS | 120 | 160 | 21.82% | 19.05% | 2.77% | 40.00 | -33% | |||||||
gross margin | 430 | 680 | 78.18% | 80.95% | 2.77% | 250.00 | 58% | |||||||
expenses | expense | expense | ||||||||||||
salaries | 100 | 150 | 18.18% | 17.86% | 0.32% | 50.00 | 50% | |||||||
warehousing costs | 80 | 120 | 14.55% | 14.29% | 0.26% | 40.00 | 50% | |||||||
advertising | 60 | 90 | 10.91% | 10.71% | 0.19% | 30.00 | 50% | |||||||
taxes | 45 | 75 | 8.18% | 8.93% | 0.75% | 30.00 | 67% | |||||||
total expenses | 285 | 435 | 51.82% | 51.79% | 0.03% | 150.00 | 53% | |||||||
net income | 145 | 245 | 26.36% | 29.17% | 2.80% | 100.00 | 69% | |||||||
what accounts would indicate there is fraud? Explain. |
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