Question

Rotorua Products, Ltd., of New Zealand markets agricultural products for the burgeoning Asian consumer market. The company’s current assets, current liabilities, and sales over the last five years (Year 5 is the most recent year) are as follows: Year 1 Year 2 Year 3 Year 4 Year 5 Sales $ 4,500,090 $ 4,903,310 $ 5,148,110 $ 5,529,910 $ 5,632,260 Cash $ 88,312 $ 103,640 $ 102,980 $ 86,199 $ 83,505 Accounts receivable, net 404,988 431,050 442,486 500,081 567,716 Inventory 804,331 872,355 823,816 886,170 914,938 Total current assets $ 1,297,631 $ 1,407,045 $ 1,369,282 $ 1,472,450 $ 1,566,159 Current liabilities $ 317,437 $ 336,296 $ 343,679 $ 323,620 $ 390,799 Required: 1. Express all of the asset, liability, and sales data in trend percentages. Use Year 1 as the base year. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) Rotorua Products, Ltd., of New Zealand markets agricultural products for the burgeoning Asian consumer market. The company’s current assets, current liabilities, and sales over the last five years (Year 5 is the most recent year) are as follows: Year 1 Year 2 Year 3 Year 4 Year 5 Sales $ 4,500,090 $ 4,903,310 $ 5,148,110 $ 5,529,910 $ 5,632,260 Cash $ 88,312 $ 103,640 $ 102,980 $ 86,199 $ 83,505 Accounts receivable, net 404,988 431,050 442,486 500,081 567,716 Inventory 804,331 872,355 823,816 886,170 914,938 Total current assets $ 1,297,631 $ 1,407,045 $ 1,369,282 $ 1,472,450 $ 1,566,159 Current liabilities $ 317,437 $ 336,296 $ 343,679 $ 323,620 $ 390,799 Required: 1. Express all of the asset, liability, and sales data in trend percentages. Use Year 1 as the base year. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) problem is filled as: sales in percents current assets accounts receivable as % Inventory % total Current Assets % current Liabilites%

Answer 1

	Year1		Year2		Year3		Year4		Year5
Sales	4500090	100%	4903310	109%	5148110	114%	5529910	123%	5632260	125%
Cash	88312	100%	103640	117%	102980	117%	86199	98%	83505	95%
Accounts Receivable, net	404988	100%	431050	106%	442486	109%	500081	123%	567716	140%
Inventory	804331	100%	872355	108%	823816	102%	886170	110%	914938	114%
Total Current Assets	1297631	100%	1407045	108%	1369282	106%	1472450	113%	1566159	121%
Current Liabilities	317437	100%	336296	106%	343679	108%	323620	102%	390799	123%

Revised statement

	Year1		Year2		Year3		Year4		Year5
Sales	4500090	100.0%	4903310	109.0%	5148110	114.4%	5529910	122.9%	5632260	125.2%
Cash	88312	100.0%	103640	117.4%	102980	116.6%	86199	97.6%	83505	94.6%
Accounts Receivable, net	404988	100.0%	431050	106.4%	442486	109.3%	500081	123.5%	567716	140.2%
Inventory	804331	100.0%	872355	108.5%	823816	102.4%	886170	110.2%	914938	113.8%
Total Current Assets	1297631	100.0%	1407045	108.4%	1369282	105.5%	1472450	113.5%	1566159	120.7%
Current Liabilities	317437	100.0%	336296	105.9%	343679	108.3%	323620	101.9%	390799	123.1%