Question

Problem 17-1A Calculation and analysis of trend percents LO A1, P1

Selected comparative financial statements of Haroun Company follow.

HAROUN COMPANY
Comparative Income Statements
For Years Ended December 31, 2017–2011
($ thousands)	2017			2016			2015			2014			2013			2012			2011
Sales	$	1,679		$	1,470		$	1,338		$	1,226		$	1,144		$	1,064		$	872
Cost of goods sold		1,207			982			845			739			687			643			512
Gross profit		472			488			493			487			457			421			360
Operating expenses		359			281			257			190			165			162			135
Net income	$	113		$	207		$	236		$	297		$	292		$	259		$	225

HAROUN COMPANY
Comparative Balance Sheets
December 31, 2017–2011
($ thousands)	2017			2016			2015			2014			2013			2012			2011
Assets
Cash	$	96		$	127		$	132		$	135		$	141		$	139		$	143
Accounts receivable, net		693			728			659			505			445			422			297
Merchandise inventory		2,508			1,825			1,595			1,344			1,207			1,025			744
Other current assets		64			58			36			64			54			55			29
Long-term investments		0			0			0			198			198			198			198
Plant assets, net		3,069			3,057			2,674			1,508			1,559			1,385			1,189
Total assets	$	6,430		$	5,795		$	5,096		$	3,754		$	3,604		$	3,224		$	2,600
Liabilities and Equity
Current liabilities	$	1,618		$	1,361		$	893		$	743		$	645		$	610		$	393
Long-term liabilities		1,727			1,504			1,464			680			694			752			564
Common stock		1,170			1,170			1,170			1,040			1,040			910			910
Other paid-in capital		293			293			293			260			260			228			228
Retained earnings		1,622			1,467			1,276			1,031			965			724			505
Total liabilities and equity	$	6,430		$	5,795		$	5,096		$	3,754		$	3,604		$	3,224		$	2,600

Required:
1. Complete the below table to calculate the trend percents for all components of both statements using 2011 as the base year. (Round your percentage answers to 1 decimal place.)

Complete the below table to calculate the trend percents for all components of comparative income statements using 2011 as the base year.

HAROUN COMPANY Income Statement Trends For Years Ended December 31, 2017–2011 2017 2016 2015 2014 2013 2012 2011 Sales % % % % % % 100.0 % Cost of goods sold 100.0 Gross profit 100.0 Operating expenses 100.0 Net income % % % % % % 100.0 % Complete the below table to calculate the trend percents for all components of comparative balance sheets using 2011 as the base year. HAROUN COMPANY Balance Sheet Trends December 31, 2017–2011 2017 2016 2015 2014 2013 2012 2011 Assets Cash % % % % % % 100.0 % Accounts receivable, net 100.0 Merchandise inventory 100.0 Other current assets 100.0 Long-term investments 100.0 Plant assets, net 100.0 Total assets % % % % % % 100.0 % Liabilities and Equity Current liabilities % % % % % % 100.0 % Long-term liabilities 100.0 Common stock 100.0 Other paid-in capital 100.0 Retained earnings 100.0 Total liabilities & equity % % % % % % 100.0 %

Answer 1