18. Alberta Playground Inc. produces, markets, distributes, and installs durable playground equipment. It is a new, growing playground distributor in Canada, and is hoping to expand to other provinces shortly. Its head office is in Edmonton, Alberta, and its 2020 and 2019 balance sheets and income statements follow. Alberta Playground Inc. Balance Sheet ($200) Years Ended March 31 $ 2020 2019 02:04:04 33,313 $ 78,791 $ 56,119 462, 107 368,369 665,444 578, 094 51,330 29,884 28, e3 260 28,632 $1,318,988 $1,053,268 41, 343 1,879,150 1, e9e, 756 853,030 721,895 342,938 320, 513 140, 143 95,616 $3,734,249 $3,323,391 Assets Current assets Cash and cash equivalents Receivables Inventories Prepaid expenses and other assets Non-strategic investment Other current assets Total current assets Portfolio investment Property, plant, & Equipment Goodwill Trademarks and other intangibles Other assets Total assets Liabilities Current liabilities Bank loans Accounts payable and accrued liabilities Income taxes payable Current portion of long term debt Total current liabilities Non-Current Liabilities Long-term debt Other liabilities Total liabilities Equity Common shares Retained earnings Total equity Total liabilities and equity $ 171,889 $ 62,872 575,729 473,056 199,938 150, 677 28,459 8,899 $ 976, 015 $ 695,584 381, e8e 383, 390 190, 283 154, 669 $1,547,378 $1,233,563 $ 630, 675 $ 597,749 1,556, 196 1,492, 079 $2,186,871 $2,089,828 $3,734,249 $3,323,391 48 $1,547,378 $1,233,563 lotal liabilities Equity Common shares Retained earnings Total equity Total liabilities and equity $ 630, 675 $ 597,749 1,556,196 1,492,079 $2,186,871 $2,089,828 $3,734,249 $3,323,391 16 Doints & 02:03:26 Alberta Playground Inc. Income Statement ($800) Years Ended March 31 Revenues Cost of sales, selling and administrative expenses Depreciation and amortization expense Operating profit Interest on long-term debt Other expenses Earnings before income taxes Income taxes Profit 2020 2019 $ 6,155,470 $5,940, 582 5,261,330 5,144,511 108, 082 116,756 786, 058 679,315 23,601 30, 291 15,563 6,461 746,894 642,563 203, 215 167, 289 $ 543,679 $ 475, 274 Assume the common shares represent 205,130 (thousand) shares issued and outstanding for the entire Required: 1. Prepare a common-size balance sheet and income statement on a comparative basis for 2019 and 20 percentage answers to 2 decimal places. Negative answers should be indicated by a minus sign.) ALBERTA PLAYGROUND INC. Common-Size Comparative Balance Sheet As at March 31, 2020 and March 31, 2019 2020 (%) 2019 (%) Assets 1. Prepare a common-size balance sheet and income statement on a comparative basis for 2019 and 2020. (Round the final percentage answers to 2 decimal places. Negative answers should be indicated by a minus sign.) ALBERTA PLAYGROUND INC. Common-Size Comparative Balance Sheet As at March 31, 2020 and March 31, 2019 2020 (%) Assets Current assets Cash and cash equivalents 2019 (%) Receivables Inventories Prepaid expenses and other assets Non-strategic investment Other current assets Total current assets Portfolio investment Property, plant and equipment Goodwill Trademarks and other intangibles Other assets Total assets Liabilities Current liabilities Bank loans Accounts payable and accrued liabilities 48 16 points 8 02:02:35 Other assets Total assets Liabilities Current liabilities Bank loans Accounts payable and accrued liabilities Income taxes payable Current portion of long-term debt Total current liabilities Long-term debt Other liabilities Total liabilities Equity Common shares Retained earnings Total equity Total liabilities and equity ALBERTA PLAYGROUND INC. Common-Size Comparative Income Statement Years ended March 31, 2020 and March 31, 2019 2020 2019 (%) Revenues of sales and selling, general and administrative Common-Size Comparative Income Statement Years ended March 31, 2020 and March 31, 2019 2020 (%) 2019 (%) ints Revenues 02:02:10 Cost of sales and selling, general and administrative Depreciation and amortization expense Operating profit Interest on long-term debt Other expenses Profit before income taxes Income taxes Profit 2. Calculate the 2020 ratios for Alberta Playground Inc. including a comparison against the industry averages. (Round the final answers to 2 decimal places.) Ratio Industry Average 1.6:1 Favourable or Unfavourable Current ratio :1 Total asset turnover times 2.3 times 35 % Debt ratio % % 65 % Equity ratio Times interest earned Profit margin times 50 times % 14 % 20 % 2. Calculate the 2020 ratios for Alberta Playground Inc. including a comparison against th answers to 2 decimal places.) Ratio Industry Average 1.6:1 Favourable or Unfavourable :1 times 2.3 times % 35 % 65 % % Current ratio Total asset turnover Debt ratio Equity ratio Times interest earned Profit margin Return on total assets Earnings per share times 50 times % 14 % % 20 % S $ 1.79