P 5-1 Best Buy Co., Inc.?s consolidated balance sheets from its 2011 annual report are presented

in Exhibit 5-3.

Required

a. Using the balance sheets, prepare a vertical common-size analysis for 2011 and 2010.

b. Using the balance sheets, prepare a horizontal common-size analysis for 2011 and 2010. Use 2010 as the base. c. Comment on significant trends that appear in (a) and (b).

b. Using the balance sheets, prepare a horizontal common-size analysis for 2011 and 2010. Use 2010 as the base. c. Comment on significant trends that appear in (a) and (b).Use total assets as a base.

P 6-11 A partial balance sheet and income statement for King Corporation follow: KING CORPORATION Partial Balance Sheet Assets December 31, 2011 Current assets: Cash $ 33,493 Marketable securities 215,147 Trade receivables, less allowance of $6,000 255,000 Inventories, LIFO 523,000 Prepaid expenses 26,180 Total current assets $1,052,820 Liabilities Current liabilities: Trade accounts payable $ 103,689 Notes payable (primarily to banks) and commercial paper 210,381 Accrued expenses and other liabilities 120,602 Income taxes payable 3,120 Current maturities of long-term debt 22,050 Total current liabilities $ 459,842 KING CORPORATION Partial Income Statement For Year Ended December 31, 2011 Net sales $3,050,600 Miscellaneous income 45,060 $3,095,660 Costs and expenses: Cost of sales $2,185,100 Selling, general, and administrative expenses 350,265 Interest expense 45,600 Income taxes 300,000 2,880,965 Net income $ 214,695 Note: The trade receivables at December 31, 2010, were $280,000, net of an allowance of $8,000, for a gross receivables figure of $288,000. The inventory at December 31, 2010, was $565,000.

P 6-11 A partial balance sheet and income statement for King Corporation follow: KING CORPORATION Partial Balance Sheet Assets December 31, 2011 Current assets: Cash $ 33,493 Marketable securities 215,147 Trade receivables, less allowance of $6,000 255,000 Inventories, LIFO 523,000 Prepaid expenses 26,180 Total current assets $1,052,820 Liabilities Current liabilities: Trade accounts payable $ 103,689 Notes payable (primarily to banks) and commercial paper 210,381 Accrued expenses and other liabilities 120,602 Income taxes payable 3,120 Current maturities of long-term debt 22,050 Total current liabilities $ 459,842 KING CORPORATION Partial Income Statement For Year Ended December 31, 2011 Net sales $3,050,600 Miscellaneous income 45,060 $3,095,660 Costs and expenses: Cost of sales $2,185,100 Selling, general, and administrative expenses 350,265 Interest expense 45,600 Income taxes 300,000 2,880,965 Net income $ 214,695 Note: The trade receivables at December 31, 2010, were $280,000, net of an allowance of $8,000, for a gross receivables figure of $288,000. The inventory at December 31, 2010, was $565,000.

Required Compute the following: a. Working capital b. Current ratio c. Acid-test ratio d. Cash ratio e. Days? sales in receivables f. Accounts receivable turnover in days g. Days? sales in inventory h. Inventory turnover in days i. Operating cycle

Please answer in excel and label all work. I have attached screen shots of the problems to make it easier to read.

P 5-1 Best Buy Co., Inc.'s consolidated balance sheets from its 2011 annual report are presented in Exhibit 5-3. Required a. Using the balance sheets, prepare a vertical common-size analysis for 2011 and 2010. Use total assets as a base. b. Using the balance sheets, prepare a horizontal common-size analysis for 2011 and 2010. Use 2010 as the base. c. Comment on significant trends that appear in (a) and (b)