File Home Insert Page Layout Formulas Data Review View Help Tell me what you want to do Arial = 2. 2 Wrap Text General v10A A U - 1. 9. A. Paste B I 3 Merge & Center - $ . % Cipboard D E F G H KL Using the comparative financial information given in the next tab, identify THREE specific account related misstatement risks. For each risk, briefly describe why it qualifies as a risk and the related accounts and assertions that potentially may be 1 violated. 2 CNX Co.- Selected Comparative Financial Information 4 (in thousands) 6 INCOME STATEMENTS Horizontal Analysis CY to PY Vertical Analysis CY PY py 10 Net Revenue 18,632 S 19,567 100.0% 100.0% 11 5,931 12,701 31.8% 5.944 13,623 68.25 30.4% 69.6% 12 Cost of goods sold 13 Gross profit on sales 14 15 Operating expenses 16 Seling, general and administrative 17 Interest expense 18 Other, net 19 Total Expenses 6.293 5,649 605 5,591 5.292 28.6% 27.0% 2.8% 1.5% 59.9% 547 285 341 12 888 11 715 592 21 Not income before taxes (187) 1908 -1.0% 9.8% 23 Income faves (benefits) 588 -0.6% 3.09 119% -106% 25 Net income 1,320 -0.4% 6.7% Paste BIU.L.S.A. + Merge & Center - $ . % ) Clipboard Alignment Number C D E F G H I J 27 BALANCE SHEETS 28 ASSETS 29 Current assets 30 Cash and cash equivalents 31 Trade receivables, net 32 Inventory 33 Other current assets 34 Total current assets $ 924% 1,290 7.442 1,900 1.041 11,673 126 7.737 2,981 1.161 11.985 4.3% 25.19 6.49 3.5% 39.3% 0.4% 26.9% 10.3% 40% 41.6% -36% 44 996 46.5% 36 Property and equipment, net 37 Goodwill, net 38 Deferred tax benefits and other assets 13,312 1,597 3.085 13,404 1,724 1,701 54% 10.4% 60% 5.9% 40 Total Assets 29,667 $ 28,814 100 0% 100.0% 42 LIABILITIES AND SHAREHOLDERS' EQUITY 1,131 2,244 918 44 Current liabilities 45 Accounts payable 46 Current maturities of noles payable 47 Accrued expenses 48 Other current habilities 49 Total current liabilities 50 51 Long-term debt, less current maturity 52 Postretirement benefits and deferred compensation 53 Deferred taxes and other liabilities 1,016 3,957 816 2 161 7.950 7.6% 3 196 3.5% 13.7% 2 890 7.59 27 6% 50% 5,944 200% 15,009 1,194 10,994 1,389 2.263 50.6% 4.09 6.5% 38 26 4.8% 7.9% 1.927 24,074 22,596 81.1% 78.4% 55 Total liabilities 56 57 Shareholders' Equity 58 Preferred stock 59 Common stock 60 Rood Earnings 61 Total Shareholders' equity 647 3,630 1,316 5,593 689 3,630 1,919 6,218 22% 12 2% 4.496 2.3% 126% 18 99 21 696 29,667 28,814 100.0% 100.0% 63 Total liabilities plus shareholders equity 4 PY 1.51 CY 2.46 227 65 66 RATIOS 67 Current 68 Receivables Turnover 69 Days' Sales in Ending Receivables 70 Inventory Turnover 71 Days' Sales in Ending Inventory 72 Return on Equity 73 Profit Margin 74 Debt to Equity 147.40 2.44 116 93 (0.05) 0.04 4.30 532 Industry Averages PY 1.53 1.51 2.6 2.41 140 38 151.45 575 63.48 68.61 023 02 0.08 0.08 2.13 160.79 1.47 181.82 031 0 14 363 75 Required and Company Profile Inc State and Bal Sheet A PO O WER TY