Question

1. Prepare a vertical analysis of Sports Unlimited's 2018 and 2017 balance sheets. Express each amount as a percentage of total assets for that year (Amounts to be deducted should be indicated by a minus sign. Round your answers to 1 decimal place Balance Sheets December 31 2018 2017 Assets Current assets 206,150 19,700 102,600 32,300 144,500 60,350 157.250 16,150 Accounts receivable Prepaid rent 29,200 196,550 211,850 (50350) 950,000 nvestment in bonds Land Equipment 305,150 207,400 (40 800) B50,000 Total assets Liabilities and Stockholders Equity Curent lablites 93,100 32 300 22.800 122,400 16,150 5,300 Accounts payable Interest payable Income tax payable Long-term labilites 281,200 264,350 Notes payable Stockholders equity 323,000 197,600 Total liabilites and stockholders' equty 950,000 323,000 108,800 S 850,000 Common stock Retained eamings

Answer 1

Sports Unlimited
Balance sheet
Dec-31
	2018		2017
	Amount	%	Amount	%
Assets
Current assets
Cash	$    2,06,150.00	21.7%	$ 1,44,500.00	17.0%
Accounts receivables	$    1,19,700.00	12.6%	$      60,350.00	7.1%
Inventory	$    1,02,600.00	10.8%	$ 1,57,250.00	18.5%
Prepaid Rent	$        32,300.00	3.4%	$      16,150.00	1.9%
Long term Assets
Investm,ent in bomds	$    1,29,200.00	13.6%	$                     -	0.0%
Land	$    1,98,550.00	20.9%	$ 3,05,150.00	35.9%
Equipment	$    2,11,850.00	22.3%	$ 2,07,400.00	24.4%
less: Accumulated deprectaion	$      (50,350.00)	-5.3%	$   (40,800.00)	-4.8%
Total Assets	$    9,50,000.00	100.0%	$ 8,50,000.00	100.0%
Liabilities and stockholder's equity
Current liabilities
Accounts payable	$        93,100.00	9.8%	$ 1,22,400.00	14.4%
Interest Payable	$        32,300.00	3.4%	$      16,150.00	1.9%
Income tax payable	$        22,800.00	2.4%	$      15,300.00	1.8%
Long term liabilities
Notes payable	$    2,81,200.00	29.6%	$ 2,64,350.00	31.1%
Stockholder's equity
Common stock	$    3,23,000.00	34.0%	$ 3,23,000.00	38.0%
Retained earnings	$    1,97,600.00	20.8%	$ 1,08,800.00	12.8%
Total Liabilities and stockholder's equity	$    9,50,000.00	100.0%	$ 8,50,000.00	100.0%