Question

In: Accounting

Balance Sheet April 30 (in thousands of dollars) 2019 2018 2017 Assets:    Current assets $ 1,700...

Balance Sheet

April 30

(in thousands of dollars)

2019

2018

2017

Assets:

   Current assets

$ 1,700

$1,120

$1,544

   Plant and equipment (net)

8,110

7,830

5,404

   Other assets

  1,004

   695

   772

   Total assets

$10,814

$9,645

$7,720

Liabilities and Stockholders' Equity:

   Current liabilities

$   950

$  880

$  772

   Long-term liabilities

2,023

1,591

1,544

   Capital stock ($10 par)

4,600

4,600

3,000

   Paid-in capital in excess of par

770

770

386

   Retained earnings

  2,471

1,804

2,018

      Total liabilities and stockholders' equity

$10,814

$9,645

$7,720

Income Statement

For the Year Ended April 30

(in thousands of dollars)

2019

2018

2017

Net sales

$38,610

$32,175

$25,740

Cost of sales

25,100

19,950

15,400

   Gross profit

$13,510

$12,225

$10,340

Selling expenses

7,700

6,565

5,148

Administrative expenses

  4,270

  4,175

  3,861

   Total operating expenses

$11,970

$10,740

$ 9,009

   Operating income

$ 1,540

$ 1,485

$ 1,331

Interest expense

    115

     95

    100

Net income before tax

$ 1,425

$ 1,390

$ 1,231

Income taxes

    655

    645

    541

   Net income

$   770

$   745

$   690

Required:

Perform a horizontal, common-size analysis of the balance sheet items, using 2017 as the base year (meaning each line item for 2017 is 100%). Also include a horizontal analysis of sales and net income.

Solutions

Expert Solution

Balance Sheet
Apr-30
(in thousands of dollars)
2019 2018 2017
Assets:
   Current assets 110% 73% 100%
   Plant and equipment (net) 150% 145% 100%
   Other assets 130% 90% 100%
   Total assets 140% 125% 100%
Liabilities and Stockholders' Equity:
   Current liabilities 123% 114% 100%
   Long-term liabilities 131% 103% 100%
   Capital stock ($10 par) 153% 153% 100%
   Paid-in capital in excess of par 199% 199% 100%
   Retained earnings 122% 89% 100%
      Total liabilities and stockholders' equity 140% 125% 100%
Income Statement
For the Year Ended April 30
(in thousands of dollars)
2019 2018 2017
Net sales 150% 125% 100%
Cost of sales 163% 130% 100%
   Gross profit 131% 118% 100%
Selling expenses 150% 128% 100%
Administrative expenses 111% 108% 100%
   Total operating expenses 133% 119% 100%
   Operating income 116% 112% 100%
Interest expense 115% 95% 100%
Net income before tax 116% 113% 100%
Income taxes 121% 119% 100%
   Net income 112% 108% 100%

Related Solutions

BALANCE SHEET & IS ITEMS 2017      2018          (thousands of US dollars) Sales                &nbs
BALANCE SHEET & IS ITEMS 2017      2018          (thousands of US dollars) Sales                         4,166       4,490 (NOTE: the firm Cash                          2,150       2,198   plans on a 34% Interest (expense)              274         316   marginal corp. Other Expenses                  340         280   tax rate for Inventory                     5,060       5,200   all revenues) Net Fixed Assets             18,030      18,460                   Depreciation                    590         590                Cost of Goods Sold            1,410       1,602 SE(includes paid-in surplus) ?????       ????? Retained Earnings            11,256      11,128 (ALSO:30,000 CBC Accounts Payable              2,258       2,190   common equity    Short-Term Notes Payable        416         390   shares (10%...
Joshua & White Technology: December 31 Balance Sheets (Thousands of Dollars) 2019 2018 Assets Cash $...
Joshua & White Technology: December 31 Balance Sheets (Thousands of Dollars) 2019 2018 Assets Cash $ 21,000 $ 20,000 Short-term investments       3,759       3,240 Accounts receivable     52,500     48,000 Inventories     84,000     56,000 Total current assets $161,259 $127,240 Net fixed assets 223,097 200,000 Total assets $384,356 $327,240 Liabilities and Equity Accounts payable $ 33,600 $ 32,000 Accruals     12,600     12,000 Notes payable     19,929       6,480 Total current liabilities $ 66,129 $ 50,480 Long-term debt    ...
A firm’s 2016 balance sheet showed current assets of $1,700 and current liabilities of $800. Its...
A firm’s 2016 balance sheet showed current assets of $1,700 and current liabilities of $800. Its 2017 balance sheet showed current assets of $2,500 and current liabilities of $4,000. What was the firm’s 2017 increase in net working capital?
C. Adidas Inc. had the following balance sheet on September 30, 2019 (in thousands): Assets Liabilities...
C. Adidas Inc. had the following balance sheet on September 30, 2019 (in thousands): Assets Liabilities and Stockholders’ Equity Cash 445,421 Accounts Payable 687,121 Accounts Receivable 1,754,137 Notes Payable 553,153 Inventories 1,338,640 Other Liabilities 965,095 Equipment and Total Liabilities 2,205,369 Other Assets 1,823,009 Stockholders’ Equity 3,155,838 Total Assets 5,361,207 Total Liabilities and Stockholders’ Equity 5,361,207 Consider the following transactions that occurred during the first half of October 2019 (in thousands): 1. Inventories were acquired for cash, P160. 2. Inventories were...
Balance Sheet as of December 31, 2018 (Thousands of Dollars) Cash $ 1,080 Accounts payable $...
Balance Sheet as of December 31, 2018 (Thousands of Dollars) Cash $ 1,080 Accounts payable $ 4,320 Receivables 6,480 Accruals 2,880 Inventories 9,000 Line of credit 0    Total current assets $16,560 Notes payable 2,100 Net fixed assets 12,600    Total current liabilities $ 9,300 Mortgage bonds 3,500 Common stock 3,500 Retained earnings 12,860    Total assets $29,160    Total liabilities and equity $29,160 Income Statement for January 1 - December 31, 2018 (Thousands of Dollars) Sales $36,000 Operating costs 32,440    Earnings before interest...
_______5. Happy Days, Inc. Comparative Balance Sheet June 30, 2019 and 2018 Assets Increase (Decrease) 2018...
_______5. Happy Days, Inc. Comparative Balance Sheet June 30, 2019 and 2018 Assets Increase (Decrease) 2018 2017 Amount Percent Current assets $256,000 $190,000 Property, plant, and equipment 428,000 405,000 Intangible assets 24,000 32,000 Total Assets $708,000 $81,000 12.9% Liabilities Current liabilities $81,000 $89,000 Long-term liabilities 235,000 275,000 Total Liabilities $316,000 $(48,000) (13.2%) Stockholders’ Equity Common stock $276,000 $210,000 Retained earnings 116,000 53,000 Total Stockholders’ Equity $392,000 $129,000 49.0% Total Liabilities & Stockholders’ Equity $708,000 $81,000 12.9% Prepare a comparative balance...
Stealcase’s Balance Sheet, as of December 31(thousands of dollars)                                 
Stealcase’s Balance Sheet, as of December 31(thousands of dollars)                                              2017      2018                                                                            2017      2018 Cash                                 30            25                  Account Payable                                  35          50 Accts Receivable          5              20                  Bank Loan                                            25           25 Inventory                        100         100                Accrued Taxes                                   15          25 Current Assets              135          245                Long Term, Dept current portion    12         12                                                                                  Current Liabilities                                87         112 Net Plant & Equip           200          250                 Long-Term Dept                                100        95                                                                                  Common Stock (10,000 shares)    100      100                                                                                 Additional paid-in...
Balance Sheet As at Dec 31 2017 and 2018 Carl’s Jr Restaurants 2017               2018 Current...
Balance Sheet As at Dec 31 2017 and 2018 Carl’s Jr Restaurants 2017               2018 Current Assets: Cash $210,000,000        $215,000,000 Accounts Receivables                     355,000,000         310,000,000 Inventory                                       507,000,000       328,000,000 Total Current Assets                      $1,072,000,000       $853,000,000 Long-Term Assets: Net Equipment, Furniture, Fixtures       $6,085,000,000     $6,527,000,000 Total Assets                                      $7,157,000,000     $7,380,000,000 Current Liabilities: Accounts Payable                           $207,000,000        $298,000,000 Notes Payable                              $1,715,000,000     $1,427,000,000 Total Current Liabilities                       $1,922,000,000      $1,725,000,000 Long-term Liabilities                           $1,987,000,000      $2,308,000,000 Owners’ Equity: Common stock plus Capital Surplus   $1,000,000,000      $1,000,000,000 Retained Earnings                                 2,248,000,000       ...
Rowan Company Comparative Balance Sheet (dollars in millions) Ending Balance Beginning Balance Assets Current assets: ?Cash...
Rowan Company Comparative Balance Sheet (dollars in millions) Ending Balance Beginning Balance Assets Current assets: ?Cash and cash equivalents $70 $91 ?Accounts receivable 536 572 ?Inventory ??620 ??580 Total current assets ?1,226 ?1,243 Property, plant, and equipment 1,719 1,656 ?Less accumulated depreciation ??640 ??480 Net property, plant, and equipment ?1,079 ?1,176 Total assets $2,305 $2,419 Liabilities and Stockholders’ Equity Current liabilities: ?Accounts payable $205 $180 ?Accrued liabilities 94 105 ?Income taxes payable ???72 ???88 Total current liabilities 371 373 Bonds...
Use the following balance sheet information to answer this question. Balance Sheet (dollars in thousands) and...
Use the following balance sheet information to answer this question. Balance Sheet (dollars in thousands) and Duration (in years) Duration Amount T-bills 0.5 90 T-notes 0.9 55 T-bonds 4.393 176 Loans 7 2,724 Deposits 1 2,092 Federal funds 0.01    238 Equity 715 A )What is the average duration of all the assets? B )What is the average duration of all the liabilities? C )What is the FI’s leverage-adjusted duration gap? What is the FI’s interest rate risk exposure? D...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT