Question

Required Prepare a vertical analysis of both the balance sheets and income statements for 2019 and 2018. Complete this question by entering your answers in the tabs below. Analysis Bal Sheet Analysis Inc Stmt Prepare a vertical analysis of the balance sheets for 2019 and 2018. (Percentages may not add exactly due to rounding. Round your answers to 2 decimal places. should be entered as 23.45).) RUNDLE COMPANY Vertical Analysis of Balance Sheets 2019 Percentage of Total 2018 Percentage of Total Amount Amount Assets Current assets Cash $ % $ Marketable securities Accounts receivable (net) Inventories Prepaid items Total current assets 17,900 20,500 54,600 135,500 26,100 254,600 27,000 12,400 7,400 46,600 144,500 12,000 222,900 20,600 Investments

Answer 1

RUNDLE COMPANY
Vertical analysis of Balance sheets
	2019		2018
	Amount	Percentage of total	Amount	Percentage of total
Assets
Current assets
Cash	17900	3.08%	12400	2.36%
Marketable securities	20500	3.52%	7400	1.41%
Accounts receivables (net)	54600	9.38%	46600	8.88%
Inventories	135500	23.29%	144500	27.55%
Prepaid items	26100	4.49%	12000	2.29%
Total current assets	254600	43.75%	222900	42.50%
Investments	27000	4.64%	20600	3.93%
Plant (net)	270500	46.49%	255400	48.69%
Land	29800	5.12%	25600	4.88%
Total long-term assets	327300	56.25%	301600	57.50%
Total assets	581900	100.00%	524500	100.00%
Liabilities and stockholders' equity
Liabilities
Current liabilities
Notes payable	16000	2.75%	5400	1.03%
Accounts payable	113500	19.51%	98300	18.74%
Salaries payable	20900	3.59%	14700	2.80%
Total current liabilties	150400	25.85%	118400	22.57%
Noncurrent liabilities
Bonds payables	98500	16.93%	98500	18.78%
Other	31500	5.41%	25200	4.80%
Total noncurrent liabilities	130000	22.34%	123700	23.58%
Total liabilities	280400	48.19%	242100	46.16%
Stockholders' equity
Preferred stock (par value $10, 4% cumulative, nonparticipating; 6,900 shares authorized and issued)	69000	11.86%	69000	13.16%
Common stock (no par: 50000 shares authorized; 10000 shares issued)	69000	11.86%	69000	13.16%
Retained earnings	163500	28.10%	144400	27.53%
Total stockholders' equity	301500	51.81%	282400	53.84%
Total liabilties and stockholders' equity	581900	100.00%	524500	100.00%

RUNDLE COMPANY
Vertical analysis of Income Statements
	2019		2018
	Amount	Percentage of total	Amount	Percentage of total
Revenues
Sales (net)	231500	100.00%	211400	100.00%
Other revenues	9700	4.19%	6900	3.26%
Total revenues	241200	104.19%	218300	103.26%
Expenses
Cost of goods sold	119800	51.75%	101100	47.82%
Selling, general and administrative expenses	53500	23.11%	49500	23.42%
Interest expense	6600	2.85%	5800	2.74%
Income tax expense	22600	9.76%	21600	10.22%
Total expenses	202500	87.47%	178000	84.20%
Net income (loss)	38700	16.72%	40300	19.06%