Question
The balance sheets for Sports Unlimited for 2021 and 2020 are provided below. 1. Prepare a vertical analysis of Sports Unlimited's 2021 and 2020 balance
The balance sheets for Sports Unlimited for 2021 and 2020 are provided below. 1. Prepare a vertical analysis of Sports Unlimited's 2021 and 2020 balance sheets. Express each amount as a percentage of total assets for that year. (Amounts to be deducted should be indicated by a minus sign. Round your percentage answers to 1 decimal place.)
2. Prepare a horizontal analysis of Sports Unlimited's 2021 balance sheet using 2020 as the base year. (Negative amounts and Decreases should be indicated by a minus sign. Round your percentage answers to 1 decimal place.)
SPORTS UNLIMITED Balance Sheets For the years ended December 31 2021 Amount % 2020 Amount % $ $ 207,000 103,500 82,800 25,200 130,900 50,400 119,700 12,600 0 Assets Current assets: Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investment in bonds Land Equipment Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable 99,900 229,500 213,300 (61,200) 900,000 232,400 189,000 (35,000) 700,000 $ $ $ $ 83,700 12,600 18,000 97,300 6,300 11,900 276,300 180,600 Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings Total liabilities and stockholders' equity 252,000 257,400 900,000 252,000 151,900 700,000 $ $ SPORTS UNLIMITED Balance Sheets For the years ended December 31 Year Increase (Decrease) Amount % 2021 2020 $ 207,000 $ 103,500 82,800 25,200 130,900 50,400 119,700 12,600 Assets Current assets: Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investment in bonds Land Equipment Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable 99,900 229,500 213,300 (61,200) 900,000 $ 0 232,400 189,000 (35,000) 700,000 $ $ 83,700 $ 12,600 18,000 97,300 6,300 11,900 276,300 180,600 Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings Total liabilities and stockholders' equity 252,000 257,400 900,000 $ 252,000 151,900 700,000 $
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