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Cornerstone Exercise 12-48 (Algorithmic) Horizontal and Vertical Analysis Selected data from the financial statements of Jones Hardware Company follows. 2019 2018 Accounts receivable $57,300 $38,000

Cornerstone Exercise 12-48 (Algorithmic) Horizontal and Vertical Analysis

Selected data from the financial statements of Jones Hardware Company follows.

2019 2018
Accounts receivable $57,300 $38,000
Merchandise inventory 12,900 16,000
Total assets 450,000 380,000
Net sales 380,000 270,000
Cost of goods sold 166,000 210,000

Required:

1. Calculate by how much accounts receivable, merchandise inventory, total assets, net sales, and cost of goods sold increased or decreased in dollar terms from 2018 to 2019.

Accounts receivable $
Merchandise inventory $
Total assets $
Net sales $
Cost of goods sold $

2. Indicate what happened from 2018 to 2019 to accounts receivable and merchandise inventory as a percentage of total assets. Round to the nearest whole percent.

Accounts receivable from % in 2018 to % in 2019.
Merchandise inventory from % in 2018 to % in 2019.

Indicate what happened from 2018 to 2019 to cost of goods sold as a percentage of net sales (rounded to the nearest whole percent).

Cost of goods sold from % in 2018 to % in 2019.

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