Throughout the project, you have been asked a number of questions relating to the Balance Sheet of ABC Company. Using the Balance Sheet found below, perform a horizontal analysis. Once complete, use your new version of the Balance Sheet to present and discuss the Balance Sheet of ABC Company.

Based on the inferences you make from your horizontal analysis, discuss any improvements and/or changes that may have occurred since the prior year. Consider addressing the items that the Board of Directors requested information on throughout the project: (1) Accounts Receivables and the process for uncollectible accounts; (2) Payroll Liabilities as well as other Current or Long-Term liabilities; and (3) the types of investments held by ABC Company. Keep in mind the intended audience of your presentation.

ABC COMPANY BALANCE SHEET At December 31, 20X2 and December 31, 20X1 \begin{tabular}{|c|c|c|c|c|c|} \hline & & 202 & 201 & Dollar Change & \% Change \\ \hline Assets & & & & & \\ \hline Current Assets & & & & & \\ \hline Cash and cash equivalents & $ & 247,225 & 168,010 & & \\ \hline Trading Securities & $ & 48,000 & 39,600 & & \\ \hline Accounts receivable & $ & 28,000 & 19,500 & & \\ \hline Allowance for doubtful accounts & & (5,000) & (2,900) & & \\ \hline Accounts receivable, net & $ & 23,000 & 16,600 & & \\ \hline Inventories & $ & 2,450 & 3,600 & & \\ \hline Prepaid expenses and other receivables & $ & 1,200 & 750 & & \\ \hline Available-for-sale securities & $ & 17,750 & 14,005 & & \\ \hline Total current assets & $ & 339,625 & 242,565 & & \\ \hline Property, plant and equipment, net & $ & 404,550 & 299,050 & & \\ \hline Intangible Assets & $ & 300 & 300 & & \\ \hline Total assets & $ & 744,475 & 541,915 & & \\ \hline Liabilities and Shareholders' Equity & & & & & \\ \hline Current Liabilities & & & & & \\ \hline Salaries Payable & $ & 75,000 & 66,950 & & \\ \hline FICA-Social Security Taxes Payable & $ & 10,540 & 7,682 & & \\ \hline FICA-Medicare Taxes Payable & $ & 2,465 & 1,797 & & \\ \hline Employee Federal Income Taxes Payable & $ & 8,500 & 6,000 & & \\ \hline State Unemployment Taxes Payable & $ & 756 & 540 & & \\ \hline Federal Unemployment Taxes Payable & $ & 84 & 60 & & \\ \hline Notes payable or current portion of long-term debt & $ & 24,000 & 24,000 & & \\ \hline Accounts payable & $ & 15,030 & 17,050 & & \\ \hline Total current liabilities & $ & 136,375 & 124,079 & & \\ \hline Long-term debt & $ & 204,400 & 128,400 & & \\ \hline Total liabilities & $ & 340,775 & 252,479 & & \\ \hline Shareholders' equity & & & & & \\ \hline Common stock, $10 per value; 50,000 shares authorized; 20,000 shares issued and outstanding & $ & 275,000 & 220,000 & & \\ \hline Retained earnings & $ & 128,700 & 69,436 & & \\ \hline Total shareholders' equity & $ & 403,700 & 289,436 & & \\ \hline Total liabilities and shareholders' equity & $ & 744,475 & 541,915 & & \\ \hline \end{tabular}