Question

Balance sheet data for Alvarez Company on December 31, the end of two recent fiscal years, follows: Current Year Previous Year Current assets $270,300 $148,720 Property, plant, and equipment 504,560 473,200 Intangible assets 126,140 54,080 Current liabilities 216,240 128,440 Long-term liabilities 324,360 270,400 Common stock 90,100 81,120 Retained earnings 270,300 196,040 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 $270,300 % $148,720 % Property, plant, and equipment 504,560 % 473,200 % Intangible assets 126,140 % 54,080 % Total assets $901,000 % $676,000 % Current liabilities $216,240 % $128,440 % Long-term liabilities 324,360 % 270,400 % Common stock 90,100 % 81,120 % Retained earnings 270,300 % 196,040 % Total liabilities and stockholders' equity $901,000 % $676,000 %

Answer 1

• Requirement: Comparative Balance Sheet, as asked:

	Current Year	Percent	Previous Year	Percent
Current Assets	$              270,300	30.0%	$                 148,720	22.0%
Property Plant & Equipment	$              504,560	56.0%	$                 473,200	70.0%
Intangible Assets	$              126,140	14.0%	$                   54,080	8.0%
Total Assets	$              901,000	100.0%	$                 676,000	100.0%
Current Liabilities	$              216,240	24.0%	$                 128,440	19.0%
Long Term Liabilities	$              324,360	36.0%	$                 270,400	40.0%
Common Stock	$                90,100	10.0%	$                   81,120	12.0%
Retained earnings	$              270,300	30.0%	$                 196,040	29.0%
Total Liabilities & Stockholder's Equity	$              901,000	100.0%	$                 676,000	100.0%