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Shaw Designs reported the following amounts on its balance sheets at December 31, 2018, 2017, and 2016: (Click the icon to view the data.) Sales
Shaw Designs reported the following amounts on its balance sheets at December 31, 2018, 2017, and 2016: (Click the icon to view the data.) Sales and profits are high. Nevertheless, Shaw is experiencing a cash shortage. Perform a vertical analysis of the company's assets at the end of years 2018, 2017, and 2016. Use the analysis to explain the reason for the cash shortage. Perform a vertical analysis of Shaw Software's assets at the end of years 2018, 2017, and 2016. (Round your answers to the nearest one-tenth of a percent, X.X%.) Shaw Designs, Inc. Vertical Analysis Years Ended December 31, 2018, 2017, and 2016 2018 2017 2016 Amount Percent Amount Percent Amount Percent Cash $ 25,200 % $ 17,745 % $ 16,415 % Receivables, net 16,800 % 5,070 % 9,380 % Inventory 280,000 % 212,940 % 164,150 % 28,000 % 35,490 % 28,140 % Prepaid expenses Property, plant and equipment, net 210,000 235,755 250,915 % % % $ 560,000 $ 507,000 $ 469,000 Total assets % % % i Data Table X 2018 2017 2016 Cash 25,200 17,745 $ 16,415 Receivables, net 16,800 5,070 9,380 Inventory 280,000 212,940 164,150 Prepaid expenses 28,000 35,490 28,140 210,000 235,755 250,915 Property, pla and equipment, net $ 560,000 $ 507,000 $ 469,000 Total assets Print Done
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