The accountant for your retail business broke her leg paragliding down Lhotse. You are the operations manager for this retailer, and your manager, the COO, has given you the job to use the financial data to create the financial accounts and calculate the basic analytical numbers. You are to do the following:

1. Make a common-sized vertical income statement (2021) and balance sheets (2020, 2021).

The deliverables for your analysis are:

1. (i) an Excel spreadsheet with your calculations, and
2. (ii) a Word document with your analysis

"General use of Excel spreadsheet" means that it is better to use references to cells when making your calculations and avoiding entering the numbers manually. Format issues have to do with how you set up the balance sheet and income statement.

Below i have provided the balance sheet and income statement.

Delicious Foods Inc.
Information from the Statement of Financial Position (Balance Sheet)
As at December 31	2020	2021
Current Assets:
Cash	$35,500	$37,400
Accounts receivable	128,000	132,700
Inventories	177,000	181,500
Marketable securities	240,000	259,500
Non-current Assets:
Property and equipment, net	775,000	732,700
Total Assets	$1,355,500	$1,343,800
Liabilities:
Accounts payable	$42,800	$42,000
Wages payable	36,300	40,200
Long-term loan	650,000	590,000
Other current liabilities	24,100	25,500
Total Liabilities	$753,200	$697,700
Shareholder's Equity:
Retained Earnings:
Common shares	500,000	533,300
Retained earnings	102,300	112,800
TOTAL NET INCOME	$1,355,500	$1,343,800

Below is the income statement.

Sales	5,248,000.00
Cost of sales	(3,584,000.00)
Gross profit	1,664,000.00
Lease expenses	(168,000.00)
Other operating expenses	(504,000.00)
Operating profit	992,000.00
Depreciation expense	(88,500.00)
Interest expense	(27,900.00)
Net income before tax	875,600.00
Income tax expense	(262,680.00)
Net income after tax	612,920.00