The following are excerpts from Del Monte Foods' 2007 Form 10-K Notes to the Consolidated Financial Statements:

Business

Del Monte Foods Company and its consolidated subsidiaries ("Del Monte," or the "Company") is one of the country's largest producers, distributors and marketers of premium quality, branded food and pet products for the U.S. retail market, with leading food brands, such as Del Monte, StarKist, S&W, Contadina, College Inn and other brand names and premier foods and snacks for pets, with brands including Meow Mix, Kibbles 'n Bits, Nine Lives, Milk-Bone, Pup-Peroni, Meaty Bone, Snausages, Pounce and other brand names. The Company acquired Meow Mix and Milk-Bone brands during the three months ended July 30, 2006, in connection with the acquisitions discussed in Note 4. The Company also produces private label food and pet products. The majority of its products are sold nationwide in all channels serving retail markets, mass merchandisers, the U.S. military, certain export markets, the foodservice industry and food processors.

Note 4. Acquisitions

The acquisitions were accounted for under the purchase method of accounting. The purchase prices were allocated to the net assets acquired based upon estimated fair market values at the respective dates of acquisition. The Company utilized independent valuation firms to assist in estimating the fair value of the acquired businesses' real estate, machinery and equipment and identifiable intangible assets. The Company's allocation of purchase price to the net tangible and intangible assets acquired and liabilities assumed is as follows as of April29, 2007:

Required
1. Using the Consolidated Balance Sheets for Del Monte Foods for April29, 2007, and April30, 2006, prepare a common-size balance sheet.
2. Evaluate the asset, debt, and equity structure of Del Monte Foods, as well as trends and changes found on the common-size balance sheet.
3. What concerns would investors and creditors have based on only this information?
4. What additional financial and nonfinancial information would investors and creditors need to make investing and lending decisions for Del MonteFoods?

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Meow Mix Milk-Bone Cash and cash equivalents Trade accounts receivable, net Inventories Prepaid expenses and other current assets Property, plant and equipment, net Goodwill Intangible assets, net Other assets, net $3.6 18.8 25.9 11.0 34.3 420.8 307.0 1.3 822.7 28.3 69.5 3.3 101.1 $721.6 18.0 9.8 37.3 219.5 330.0 Total assets, acquired 614.6 10.9 5.8 4.9 21.6 593.0 Accounts payable and accrued expenses Deferred tax liabilities Other noncurrent liabilities Total liabilities assu med Net assets acquired