The balance sheet data of Randolph Company for two recent years appears below:

1	Assets:	Year 2	Year 1
2	Current assets	$440.00	$280.00
3	Plant assets	675.00	520.00
4	Total assets	$1,115.00	$800.00
5	Liabilities and stockholders' equity:
6	Current liabilities	$280.00	$120.00
7	Long-term debt	250.00	160.00
8	Common stock	325.00	320.00
9	Retained earnings	260.00	200.00
10	Total liabilities and stockholders' equity	$1,115.00	$800.00

(a)

Using horizontal analysis, show the percentage change for each balance sheet item using Year 1 as a base year.*

(b)

Using vertical analysis, prepare a comparative balance sheet.*

*If required, round percentages to one decimal place.

Using horizontal analysis, show the percentage change for each balance sheet item using Year 1 as a base year. Use the minus sign to indicate an amount or percent decrease. If required, round percentages to one decimal place.

Randolph Company

Balance Sheet

1

Increase (Decrease)

Increase (Decrease)

2

Assets

Year 2

Year 1

Amount

Percent

3

Current assets

$440.00

$280.00

4

Plant assets

675.00

520.00

5

Total assets

$1,115.00

$800.00

6

Liabilities & Stockholders' Equity

7

Current liabilities

$280.00

$120.00

8

Long-term debt

250.00

160.00

9

Common stock

325.00

320.00

10

Retained earnings

260.00

200.00

11

Total liabilities and stockholders' equity

$1,115.00

$800.00

Using vertical analysis, prepare a comparative balance sheet. If required, round percentages to one decimal place.

Randolph Company

Balance Sheet

1		Year 2	Year 2	Year 1	Year 1
2		Amount	Percent	Amount	Percent
3	Assets
4	Current assets	$440.00		$280.00
5	Plant assets	675.00		520.00
6	Total assets	$1,115.00		$800.00
7	Liabilities and Stockholders' Equity
8	Current liabilities	$280.00		$120.00
9	Long-term debt	250.00		160.00
10	Common stock	325.00		320.00
11	Retained earnings	260.00		200.00
12	Total liabilities and stockholders' equity	$1,115.00		$800.00