LA Gear, a designer and marketer of athletic and casual footwear, filed for bankruptcy in 2009. however red flags existed long before the firm went bankrupt Using the information from the common size financial statements and growth rates given discuss the red flags that existed as early as 2010. (10 MARKS) 43 AR Poster Til 9 65 * Othe IN Loch AT Acorelegene Te Tools Cock Re Total 3 31 100 1 32 100 Income Statement 22 65.6 34 100.0 SH Net sales Cost of sales Grosso Selling. oneral exp Tentos Eatings before income taxes Income Net 2008 1000 3. 41.9 250 20 149 6.0 89 20 53 233 18 167 69 25 09.05 08-02 LA Gear, a designer and marketer of athletic and casual footwear, filed for bankruptcy in 2009. however red flags existed long before the firm went bankrupt Using the information from the common size financial statements and growth rates given discuss the red flags that existed as early as 2010. (10 MARKS) 43 AR Poster Til 9 65 * Othe IN Loch AT Acorelegene Te Tools Cock Re Total 3 31 100 1 32 100 Income Statement 22 65.6 34 100.0 SH Net sales Cost of sales Grosso Selling. oneral exp Tentos Eatings before income taxes Income Net 2008 1000 3. 41.9 250 20 149 6.0 89 20 53 233 18 167 69 25 09.05 08-02