Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Vertical Analysis of Balance Sheet Balance sheet data for Alvarez Company on December 31, the end of two recent fiscal years, follows: Current Year Previous
Vertical Analysis of Balance Sheet
Balance sheet data for Alvarez Company on December 31, the end of two recent fiscal years, follows:
Current Year | Previous Year | |||
Current assets | $313,500 | $196,000 | ||
Property, plant, and equipment | 595,650 | 517,440 | ||
Intangible assets | 135,850 | 70,560 | ||
Current liabilities | 188,100 | 86,240 | ||
Long-term liabilities | 449,350 | 352,800 | ||
Common stock | 94,050 | 101,920 | ||
Retained earnings | 313,500 | 243,040 |
Prepare a comparative balance sheet for both years, stating each asset as a percent of total assets and each liability and stockholders' equity item as a percent of the total liabilities and stockholders' equity. If required, round percentages to one decimal place.
Alvaraz Company | ||||
Comparative Balance Sheet | ||||
For the Years Ended December 31 | ||||
Current year Amount | Current year Percent | Previous year Amount | Previous year Percent | |
Current assets | $313,500 | % | $196,000 | % |
Property, plant, and equipment | 595,650 | % | 517,440 | % |
Intangible assets | 135,850 | % | 70,560 | % |
Total assets | $1,045,000 | % | $784,000 | % |
Current liabilities | $188,100 | % | $86,240 | % |
Long-term liabilities | 449,350 | % | 352,800 | % |
Common stock | 94,050 | % | 101,920 | % |
Retained earnings | 313,500 | % | 243,040 | % |
Total liabilities and stockholders' equity | $1,045,000 | % | $784,000 | % |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started