Question:1 Preparation of Financial Statements analysis in Excel. (8 Marks) The cormparative balance sheet of Mason Company appears below (attached as Excel on blackboard): MASON COMPANY Comparative Balance Sheet As of December 31, 2017 Assets Cash Short-terminvestments Aaounts receivable (net) Inventory Property, plant, and equipment (net) Total assets 2016 S30,000 S45,000 10,000 2017 25,000 60,000 40,000 50,000 200,000 160,000 Saso,000 S320,000 S0,00 Liabilities and stocholders' equity Accounts payable Short-termnotes payable Bonds payable Common stock Retained earnings Total liabilities and stockholders' equity S10,000 S30,000 35,000 40,000 20,000 20,000 220,000 200,000 60,000 35,000 S350,000 S320,000 MASON COMPANY Income Statement Forthe Year Ended December31, 2017 Income Statement S200,000 75,000 125,000 Net sales Cost of goods sold Gross profit Expenses Depredation expense Interest expense Selling expenses Administrative expenses Total expenses SE5,000 5,000 8,000 12.000 90,000 35,000 10,000 Income before income taxes Income taxexpense Net income S25,000 Instructions (a) Using horizontal analysis with excel, show the percentage change for each balance sheet item using 2016 as a base year. (04 Marks) (b) Using vertical analysis with excel, prepare a common size comparative balance sheet and income statement for 2017. (04 Marks)