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The balance sheet data for Randolph Company for 2 recent years are as follows: Assets Year 2 Current assets Year 1 $280 $445 Plant assets

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The balance sheet data for Randolph Company for 2 recent years are as follows: Assets Year 2 Current assets Year 1 $280 $445 Plant assets 680 Total assets 520 $800 $1,125 $285 $120 160 255 Liabilities & Stockholders' Equity Current liabilities Long-term debt Common stock Retained earnings Total abilities and stockholders' equity 325 320 260 200 $1,125 $800 Required: a. Using horizontal analysis, show the percentage change for each balance sheet item using Year 1 as the base year. Round percentages to one decimal place. Randolph Company Comparative Balance Sheet December 31, Year 2 and Year 1 Assets Increase/Decrease Increase/Decrease Amount Percentage $445 $280 Year 2 Year 1 Current assets Required: a. Using horizontal analysis, show the percentage change for each balance sheet item using Year 1 as the base year. Round percentages to one decimal place. Randolph Company Comparative Balance Sheet December 31, Year 2 and Year 1 Assets Increase/Decrease Increase/Decrease Year 2 Year 1 Amount Percentage Current assets $445 $280 Plant assets 680 520 $1,125 $800 Total assets Liabilities & Stockholders' Equity Current liabilities Long-term debt 5285 $120 255 160 Common stock 325 320 Retained earnings 260 200 Total liabilities and stockholders' equity $1,125 $800 b. Using vertical analysis, prepare a comparative balance sheet. Round percentages to one decimal place. Randolph Company Comparative Balance Sheet December 31, Year 2 and Year 1 Year 2 Year 2 Assets Year 1 Year 1 Amount Percent Amount Percent Current assets $445 % $280 Plant assets 680 % 520 Total assets $1,125 $800 Liabilities & Stockholders' Equity Current liabilities $285 $120 Long-term debt 255 % 160 Common stock 325 320 Retained earnings 260 1% 200 9% 9% Total liabilities and stockholders' equity $1,125 % $800

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