Chap. 13 - Problems Saved 2 Part 1 of 2 Required information P13-5 (Static) Computing Differences and Comparing Financial Statements Using Percentages LO 13-3, 13-6 {The following information applies to the questions displayed below. 10 points The comparative financial statements for Prince Company are below: Year 2 Year 1 cBook $190,000 112,000 78,000 56,000 00 $167,000 100,000 67,000 53,000 14,000 4,000 $ $ 10,000 Print 8,000 $ 14,000 References Income statement! Sales revenue Cost of goods sold Gross profit Operating expenses and interest expense Pretax income Income tax Net income Balance sheet Cash Accounts receivable (net) Inventory Property and equipment (net) Total assets Current liabilities (no interest) Long-term liabilities (10% interest) Common stock ($5 par value, 6,000 shares outstanding) Retained earnings Total liabilities and stockholders' equity $ 4,000 14,000 40,000 45,000 $103,000 $ 16,000 45,000 30,000 12,000 $ 103,000 $ 7,000 18,000 34,000 38,000 $ 97,000 $ 17,000 45,000 30,000 5,000 $ 97,000 P13-5 Part 1 Required: : 1. Complete the following columns for each item in the preceding comparative financial statements: (Enter your answers as a percentage rounded to 2 decimal places (ie. 0.1234 should be entered as 12.34). Decreases should be indicated by a minus sign.) PRINCE COMPANY Income Statement Increase (Decrease) from Year 1 to Year 2 Amount Percent Sales revenue Cost of goods sold Gross profit Operating expenses and interest expense Pretax income % % % % % % Income tax Net income % PRINCE COMPANY Balance Sheet Increase (Decrease) from Year 1 to Year 2 Amount Percent Cash Accounts receivable (net) Inventory Property and equipment (net) 78 Total Assets Current liabilities (no interest) Long-term liabilities (10% interest) Common stock ($5 par value, 6.000 shares outstanding) Retained earnings Total liabilities and stockholders' equity Chap. 13 - Problems Savod 3 Required information P13-5 (Static) Computing Differences and comparing Financial Statements Using Percentages LO 13-3, Part 2 of 2 13-6 10 points (The following information applies to the questions displayed below.) The comparative financial statements for Prince Company are below: Year 2 Year 1 cBook $190,000 112,000 78,000 56,000 22,000 8,000 $ 14,000 $167,000 100,000 67,000 53,000 14,000 4,000 $ 10,000 Print References Income statement : Sales revenue Cost of goods sold Gross profit Operating expenses and interest expense Pretax income Income tax Net income Balance sheet: Cash Accounts receivable (net) Inventory Property and equipment (net) Total assets Current liabilities (no interest) Long-term liabilities (10% interest) Common stock ($5 par value, 6,000 shares outstanding) Retained earnings Total liabilities and stockholders' equity $ 7,000 18,000 34,000 38,000 $ 97,000 $ 4,000 14,000 40,000 45,000 $103,000 $ 16,000 45,000 30,000 12,000 $ 103,000 $ 17,000 45,000 30,000 5,000 $ 97,000 P13-5 Part 2 2. By what amount did the current ratio change from Year 1 to Year 22 (Round your intermediate calculations and final answer to 2 decimal places.) Current ratio change