resented below is information related to the operations of Busy Bee Delivery Services Company. 2) Complete the Horizontal & Vertical Analysis on the Balance Sheet Below: December Horizontal Analysis 2018 Balance Sheet 2018 2017 $Change % Change Vertical Cash $ 54,000 $ 37,000 17,000 45.95% 15.56% Accounts Receivable $ 20,000 $ 30,000 (10,000) -33.33% 5.76% Inventory $ 15,000 $ 10,000 5,000 50.00% 4.32% Prepaid Expenses $ 5,000 $ 1,000 4,000 400.00% 1.44% Land $ 80,000 $ 20,000 1 60,000 300.00% 23.05% Building $ 160,000 $ 40,000 120,000 300.00% 46.11% Accum Deprec-Building S (11,000) S (5,000) (6,000 120.00% -3.17% Equipment $ 27,000 $ 10,000 17,000 170.00% 7.78% Accum Depres Equipment $ (3,000) S (1,000) (2,000 200.00% Total $ 347.000S 142.000 S205,000 144.37% 100.00% -0.86% 16,000 2,000 60,000 20.000 111,000 205,000 133.33% 25.00% 500 300.00% 40.00% 213.46% 144.37% 8.07% 1.73% 23.05% 20.17% 46.97% 100.00% Accounts Payable $ 28,000S 12,000 Income Tax Payable S 6,000 S 8,000 Bonds Payable $ 80,000 $ 20,000 Common Stock $ 70,000S 50,000 Retained Earnings $ 163,000 S 52,000 Total s 347.000 S 142.000 (6) Complete the Vertical Analysis on the Income Statement Below: YE December 31, 2018 Vertical Analysis Sales $ 507.000 100.00% Cost of goods sold S (150.000) -29.59% Gross profit S 357000 70.41% Depreciation expense S (9.000) -1.78% 8.28% Sales $ 507,000 100.00% Cost of goods sold S (150,000) -29.59% Gross profit $ 357,000 70.41% Depreciation expense s (9.000) -1.78% Other operating expenses S (112.000) -22.09% Income from operations S 2 36,000 46.55% Loss on sale of equipment S (3.000) -0.59% Interest expense (42,000) Income before income taxes S 191,000 37.67% Income tax expense s (51.000) -10.06% Net income s 140,000 27.61% Additional information: 1. In 2018, declared and paid a $29,000 cash dividend to 14,000 shares of Common Stock Outstanding 2. Purchased land for cash, $60,000; purchased a building for cash, $120,000: purchased equipment for cash, $25,000 Sold equipment with book value of $7,000 (cost $8,000, less accumulated depreciation $1,000) for $4000 cash. 4. Issued additional common stock at par ($5). Market at 12-31-18 is $10. 5. Issued additional Long-Term Bonds. 6. Depreciation expense was comprised of $6,000 for building and $3,000 for equipment 3. Sold (d) Prepare a statement of cash flows for December 31, 2018 in proper form, using the indirect method