Required:

1. Prepare a vertical analysis of the balance sheet data for 2019 and 2018. Express each amount as a percentage of total assets. (Amounts to be deducted should be indicated by a minus sign. Round your answers to 1 decimal place.)

7.

2. Prepare a horizontal analysis for 2019 using 2018 as the base year. (Decreases should be indicated by a minus sign. Round your percentage answers to 1 decimal place.)

FEDERER SPORTS APPAREL Balance Sheet December 31 2019 Amount % 2018 Amount % Assets Cash Accounts receivable Inventory Buildings Less: Accumulated depreciation $ 3.000.000 1,800,000 3,300,000 14,700,000 (2.800.000) $ 20,000,000 $ 980.000 1,242,500 1.977,500 14,700,000 (1.400.000) $ 17,500,000 Total assets Liabilities and Stockholders' Equity Accounts payable Contingent liability $ 2,187,500 Common stock Retained earnings Total liabilities and stockholders' equity $ 1,920,000 1.840,000 9,100,000 7.140,000 $ 20,000,000 9,100,000 6.212.500 $ 17,500,000 FEDERER SPORTS APPAREL Balance Sheet December 31 Year 2019 2018 Increase (Decrease) Amount % Assets Cash $ 3,000,000 1,800,000 3,300,000 14,700,000 (2.800.000) $ 20,000,000 $ 980,000 1,242,500 1.977,500 14,700,000 (1.400.000) $ 17,500,000 Accounts receivable Inventory Buildings Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Contingent liability Common stock Retained earnings Total liabilities and stockholders' equity $ 2,187,500 $ 1,920,000 1.840,000 9,100,000 7,140,000 $ 20,000,000 9,100,000 6,212,500 $ 17,500,000