Miller Electronics Corporation Comparative Income Statement For Years Ended December 31, 20-2 and 20-1 20-2 20-1 Net Sales (all on account) $428,000 $665,000 Cost of goods sold 399,800 261,150 Gross profit $265,200 $166,850 Administrative expenses $65,941 $42,631 Selling expenses 66,616 44,337 Total operating expenses $132,557 $86,968 Operating income $132,643 $79,882 Interest expense 1,255 1,177 Income before income taxes $131,388 $78,705 Income tax expense 30,865 13,151 Net income $100,523 $65,554 Miller Electronics Corporation Comparative Balance Sheet December 31, 20-2 and 20-1 20-2 20-1 Assets Current assets: $43,436 Cash $22,060 Receivables (net) 73,785 47,060 Merchandise inventory 90,268 50,102 Supplies and prepayments 1,105 3,780 $120,327 Total current assets $211,269 Property, plant, and equipment: Office equipment (net) $8,180 $11,789 Factory equipment (net) 104,360 70,220 $78,400 Total property, plant, and equipment $116,149 Total assets $327,418 $198,727 Liabilities Current liabilities Notes payable $10,280 $5,980 Accounts payable 43,437 29,960 Accrued and withheld payroll taxes 6,099 5,299 $59.816 $41,239 Total current liabilities Stockholders' Equity Common stock ($10 par) $100,000 $84,000 Retained earnings 167,602 73,488 Prepare a horizontal analysis. Enter the amount of increase (decrease) and the percentage change. Round percentages to one decimal place. Miller Electronics Corporation Comparative Income Statement For Years Ended December 31, 20-2 and 20-1 20-2 Amount Amount (Decrease) Increase 20-1 Percent Net sales (all on account) $665,000 $428,000 399,800 261,150 Cost of goods sold $265,200 $166,850 Gross profit Administrative expenses $65,941 $42,631 66.616 44,337 Selling expenses $132,557 $86,968 Total operating expenses Operating income $132,643 $79,882 1,255 1,177 Interest expense Income before income taxes $131,388 $78,705 Income tax expense 30,865 13,151 $100,523 $65,554 Net income Miller Electronics Corporation Comparative Balance Sheet December 31, 20-2 and 20-1 Assets 20-2 Amount Amount (Decrease) 20-1 Increase Percent Current assets: $43,436 $22,060 $ Cash Receivables (net) 73,785 47,060 Merchandise inventory 90,268 50,102 3,780 1,105 Supplies and prepayments $ Total current assets $211,269 $120.327 Property, plant, and equipment: Office equipment (net) $11,789 $8,180 104,360 70,220 Factory equipment (net) Total prop., plant, and equip. $116,149 $78,400 $327,418 $198,727 Total assets Liabilities Current liabilities: Notes payable $10,280 $5,980 Accounts payable 43,437 29,960 6,099 5,299 Accrued and with held payroll taxes $59,816 $41,239 $ Total current liabilities Stockholders' Equity $100,000 $84,000 Common stock ($10 par) Retained earnings 167,602 73,488 Liabilities Current liabilities: $5,980 $ Notes payable $10,280 Accounts payable 43,437 29,960 5,299 Accrued and withheld payroll taxes 6,099 Total current liabilities $59,816 $41,239 Stockholders' Equity Common stock ($10 par) $100,000 $84,000 Retained earnings 167,602 73,488 $267,602 $157,488 $ Total stockholders' equity $327,418 $198,727 Total liab. and stockholders' equity
