Question

Selected comparative financial statements of Haroun Company follow. HAROUN COMPANY Comparative Income Statements For Years Ended December 31, 2017-2011 (s thousands) Sales 2813 2012 2011 2017 2016 2015 2014 $2,485 $2,177 $1,988 $1,815 $1,694 $1,575 $1,291 1,787 Cost of goods sold Gross profit Operating expenses 1,454 723 1,251 1,095 1,017 951 758 698 729 720 677 624 533 200 531 381 281 244 241 416 383 333 Net income 167 $ $ 307 348 S 439 $ 433 HAROUN COMPANY Comparative Balance Sheets December 31, 2017-2011 2017 (S thousands) 2016 2015 2013 2012 2011 2814 Assets Cash $ $ $ 115 152 158 161 168 165 171 Accounts receivable, net Merchandise inventory Other current assets 826 868 786 6е2 531 s03 355 2,990 2,177 1,6e2 76 1,439 1,222 1,902 43 887 77 69 64 65 34 Long-term investments Plant assets, net e e 236 236 236 236 1,859 S 6,076 $4,476 $4,297 $3,844 3,658 3,644 3,187 1,799 1,653 1,417 $ 6,910 $7,666 $3,10e Total assets Liabilities and Equity Current liabilities $ 1,927 $1,621 2,061 1,395 349 $1,063 1,746 1,395 349 885 $ 768 S 726 897 468 Long-term 1iabilities Common stock 1,795 1,395 349 811 828 673 1,240 310 1,240 31e 1,151 1,ess 1,e8s 271 Other paid-in capital Retained earnings Total liabilities and equity 271 1,750 1,934 $7,666 $6,910 $ 6,076 $4,476 $4,297$3,844 $3,100 1,523 1,230 865 603

Answer 1

Correct Answer:

Requirement 1:

HAROUN COMPANY
Income Statement Trends
For the year ended December 31, 2017-20177
	2017	2016	2015	2014	2013	2012	2011
Sales	192.5%	168.6%	153.4%	140.6%	131.2%	122.0%	100.0%
Cost of Goods Sold	235.8%	191.8%	165.0%	144.5%	134.2%	125.5%	100.0%
Gross Profit	131.0%	135.6%	136.8%	135.1%	127.0%	117.1%	100.0%
Operating Expenses	265.5%	208.0%	190.5%	140.5%	122.0%	120.5%	100.0%
Net Income	50.2%	92.2%	104.5%	131.8%	130.0%	115.0%	100.0%

Requirement 2:

HAROUN COMPANY
Comparative Balance Sheet Trends
December 31, 2017-20177
	2017	2016	2015	2014	2013	2012	2011
Assets
Cash	67.3%	88.9%	92.4%	94.2%	98.2%	96.5%	100.0%
Accounts Receivables,Net	232.7%	244.5%	221.4%	169.6%	149.6%	141.7%	100.0%
Merchandise Inventory	337.1%	245.4%	214.4%	180.6%	162.2%	137.8%	100.0%
Other Current Assets	226.5%	202.9%	126.5%	223.5%	188.2%	191.2%	100.0%
Long term Investments	0.0%	0.0%	0.0%	100.0%	100.0%	100.0%	100.0%
Plant assets, net	258.2%	257.2%	224.9%	127.0%	131.2%	116.7%	100.0%
Total Assets	247.3%	222.9%	196.0%	144.4%	138.6%	124.0%	100.0%
Liabilities amd Equity
Current Liabilities	411.8%	346.4%	227.1%	189.1%	164.1%	155.1%	100.0%
Long-Term Liabilities	306.2%	266.7%	259.4%	120.5%	123.0%	133.3%	100.0%
Common Stock	128.6%	128.6%	128.6%	114.3%	114.3%	100.0%	100.0%
Other Paid-in Capital	128.8%	128.8%	128.8%	114.4%	114.4%	100.0%	100.0%
Retained Earnings	320.7%	290.2%	252.6%	204.0%	190.9%	143.4%	100.0%
Total Liabilities and equity	247.3%	222.9%	196.0%	144.4%	138.6%	124.0%	100.0%

End of answer.

Please give a thumbs-up, it will be highly appreciated.

Thanks.