Vacuum Bonanza, Inc. Vertical Ratios Horizontal Ratios Balance Sheet 2018 2019 2020 Audited Unaudited 2018 2019 2020 Audited Audited Unaudited 2019 2020 Audited Unaudited Audited Assets Cash Accounts receivable Inventories Prepaid expenses Total current assets 621 12,926 9,762 708 24,017 718 27,801 19,577 1,449 49,545 802 51,076 39,135 3,015 94,028 Property and equipment Accumulated depreciation Net PPE 63,000 43,818 19,182 70,000 55,212 14,788 90,000 64,802 25,198 Total assets 43,199 64,333 119,226 Liabilities and Equity Accounts payable Accrued liabilities Current portion L/T debt Income taxes payable Total current liabilities 7,344 3,127 2,707 1,554 14,732 15,072 5,468 900 2,619 24,059 13,288 4,145 1,250 3,782 22,465 Bank debt Deferred income taxes Total liabilities 14,800 685 30,217 19,841 1,254 45,154 62,057 1,881 86,403 Common stock Retained Earnings Total liabilities and equity 7,775 5,207 43,199 7,775 11,404 64,333 7,903 24,920 119,226 Income Statement Gross sales Less: Returns and allowances Net sales 78,428 2,284 76,144 133,504 5,270 128,234 183,767 2,644 181,123 Cost of goods sold Gross margin 46,213 29,931 70,756 57,478 94,934 86,189 Selling, advertising, R & D expenses Income from operations 20,105 9,826 43,508 13,970 63,199 22,990 Interest expense Income before taxes 1,930 7,896 1,584 12,386 3,189 19,801 Income taxes Net income 3,807 4,089 6,189 6,197 7,761 12,040 EPS 0.46 0.78 1.21 Ratios 5.3 Current Quick Receivable turnover Day's sales in ending receivables Inventory turnover Day's sales in ending inventory Interest expense/Debt 4.7