Required: 1. Prepare a vertical analysis of the balance sheet data for 2022 and 2021. 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.) FEDERER SPORTS APPAREL Balance Sheet December 31 2022 2021 Amount % Amount % Assets Cash Accounts receivable Inventory Buildings Less: Accumulated depreciation $ 1,712,500 1,175,000 2,862,500 8,250,000 (1,500,000) $ 12,500,000 $ 600,000 780,000 1,120,000 8,250,000 (750,000) $ 10,000,000 Total assets $ 1,300,000 Liabilities and Stockholders' Equity Accounts payable Contingent liability Common stock $ 1,237,500 1,200,000 5,100,000 4,962,500 $ 12,500,000 Retained earnings Total liabilities and stockholders' equity 5,100,000 3,600,000 $ 10,000,000 2. Prepare a horizontal analysis for 2022 using 2021 as the base year. (Note: If the percentage increase or decrease cannot be calculated, then leave the cell blank. Decreases should be indicated by a minus sign. Round your percentage answers to 1 decimal place.) FEDERER SPORTS APPAREL Balance Sheet December 31 Year Increase (Decrease) 2022 2021 Amount % Assets Cash Accounts receivable $ 1,712,500 1,175,000 2,862,500 8,250,000 (1,500,000) $ 12,500,000 $ 600,000 780,000 1,120,000 8,250,000 (750,000) $ 10,000,000 Inventory Buildings Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Contingent liability Common stock Retained earnings Total liabilities and stockholders' equity $ 1,237,500 $ 1,300,000 1,200,000 5,100,000 4,962,500 $ 12,500,000 5,100,000 3,600,000 $ 10,000,000 Required: 1. Prepare a vertical analysis of the balance sheet data for 2022 and 2021. 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.) FEDERER SPORTS APPAREL Balance Sheet December 31 2022 2021 Amount % Amount % Assets Cash Accounts receivable Inventory Buildings Less: Accumulated depreciation $ 1,712,500 1,175,000 2,862,500 8,250,000 (1,500,000) $ 12,500,000 $ 600,000 780,000 1,120,000 8,250,000 (750,000) $ 10,000,000 Total assets $ 1,300,000 Liabilities and Stockholders' Equity Accounts payable Contingent liability Common stock Retained earnings Total liabilities and stockholders' equity $ 1,237,500 1,200,000 5,100,000 4,962,500 $ 12,500,000 5,100,000 3,600,000 $ 10,000,000 2. Prepare a horizontal analysis for 2022 using 2021 as the base year. (Note: If the percentage increase or decrease cannot be calculated, then leave the cell blank. Decreases should be indicated by a minus sign. Round your percentage answers to 1 decimal place.) FEDERER SPORTS APPAREL Balance Sheet December 31 Year Increase (Decrease) 2022 2021 Amount % Assets Cash $ 1,712,500 Accounts receivable Inventory Buildings Less: Accumulated depreciation 1,175,000 2,862,500 8,250,000 (1,500,000) $ 12,500,000 $ 600,000 780,000 1,120,000 8,250,000 (750,000) $ 10,000,000 Total assets Liabilities and Stockholders' Equity Accounts payable Contingent liability Common stock $ 1,237,500 $ 1,300,000 1,200,000 5,100,000 5,100,000 4,962,500 3,600,000 $ 12,500,000 $ 10,000,000 Retained earnings Total liabilities and stockholders' equity