(Preparing common-size financial statements) As the newest hire to the financial analysis group at Patterson Printing...

Question

Question

(Preparing common-size financial statements) As the newest hire to the financial analysis group at Patterson Printing Company

business finance

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

Common-size balance sheet	2016
Cash and marketable securities	530	1.6% [ 530 / 33080 ]
Accounts receivables	5950	18.0% [ 5950 / 33080 ]
Inventory	9550	28.9% [ 9550 / 33080 ]
Total current assets	16030	48.5% [ 16030 / 33080 ]
Net property, plant and equipment	17050	51.5% [ 17050 / 33080 ]
Total assets	33080	100.0% [ 33080 / 33080 ]
Accounts payable	7170	21.7% [ 7170 / 33080 ]
Short-term debt	6830	20.6% [ 6830 / 33080 ]
Total current liabilities	14000	42.3% [ 14000 / 33080 ]
Long-term liabilities	6960	21.0% [ 6960 / 33080 ]
Total liabilities	20960	63.4% [ 20960 / 33080 ]
Total common stockholders' equity	12120	36.6% [ 12120 / 33080 ]
Total liabilities and stockholders' equity	33080	100.0% [ 33080 / 33080 ]

Add a comment

Answer 2

Similar Homework Help Questions

(Preparing common-size financial statements) As the newest hire to the financial analysis group at Patterson Printing...

(Preparing common-size financial statements) As the newest hire to the financial analysis group at Patterson Printing Company, you have been asked to perform a basis financial analysis of the company's most recent financial statements. The 2016 balance sheet and income statement for the Patterson are shown here: E a. After discussing your training asignment with a fellow analyst who was hired last year, you learn that the first step in your completing the assignment is to prepare a common-size balance...
As the newest hire to the financial analysis group at Patterson Printing Company, you have been...

As the newest hire to the financial analysis group at Patterson Printing Company, you have been asked to perform a basis financial analysis of the company's most recent financial statements. The 2016 balance sheet and income statement for the Patterson are shown here: LOADING... .a. After discussing your training asignment with a fellow analyst who was hired last year, you learn that the first step in your completing the assignment is to prepare a common-size balance sheet for Patterson. b....
(Analyzing common-size financial statements) Use the common-size financial statements found here: to respond to your boss'...

(Analyzing common-size financial statements) Use the common-size financial statements found here: to respond to your boss' request that you write up your assessment of the firm's financial condition. Specifically, write up a brief narrative that responds to the following questions: a. How much cash does Patterson have on hand relative to its total assets? b. What proportion of Patterson's assets has the firm financed using short-term debt? Long-term debt? c. What percent of Patterson's revenues does the firm have left...

(Analyzing common-size financial statements) Use the common-size financial statements found here: LOADING... to respond to your...

(Analyzing common-size financial statements) Use the common-size financial statements found here: LOADING... to respond to your boss' request that you write up your assessment of the firm's financial condition. Specifically, write up a brief narrative that responds to the following questions: a. How much cash does Patterson have on hand relative to its total assets? b. What proportion of Patterson's assets has the firm financed using short-term debt? Long-term debt? c. What percent of Patterson's revenues does the firm have...
A main element of financial statement analysis is the use of common-size financial statements, also called...

A main element of financial statement analysis is the use of common-size financial statements, also called "vertical analysis." A common-size balance sheet divides each account's value by the value of total assets, while a common-size income statement divides each entry by net sales revenue Common-size balance sheets immediately show how a firm's assets, liabilities, and equity are distributed. Common-size income statements give a quick snapshot of how various expenses and types of income relate to sales revenue. The following common-size...
Common-Size and Common-Base-Year Financial Statements In addition to common-size financial statements, common-base-year financial statements are often...

Common-Size and Common-Base-Year Financial Statements In addition to common-size financial statements, common-base-year financial statements are often used. Common-base-year financial statements are constructed by dividing the current-year account value by the base-year account value. Thus, the result shows the growth rate in the account. Using the financial statements below, construct the common-size balance sheet and common-base-year balance sheet for the company. Use 2016 as the base year.

In addition to common-size financial statements, common–base year financial statements are often used. Common–base y...

In addition to common-size financial statements, common–base year financial statements are often used. Common–base year financial statements are constructed by dividing the current year account value by the base year account value. Thus, the result shows the growth rate in the account. Prepare the common-size balance sheet and common–base year balance sheet for the company. Use 2014 as the base year. (Do not round intermediate calculations. Enter your common-size answers as a percent and your common–base year answers as...
Use the common-size financial statements found here: 6 parts remaining Clear All Check Answer Data Table...

Use the common-size financial statements found here: 6 parts remaining Clear All Check Answer Data Table Common-Size Balance Sheet 2016 Cash and marketable securities $ 500 1.5 % Accounts receivable 6,000 18.2 Inventory 9,500 28.8 Total current assets $ 16,000 48.5 % Net property, plant, and equipment 17,000 51.5 Total assets $ 33,000 100.0 % Accounts payable $ 7,200 21.8 % Short-term notes 6,800 20.6 Total current liabilities $ 14,000 42.4 % Long-term liabilities 7,000 21.2 Total liabilities $ 21,000...
Preparing Standardized Financial Statements [LO1] Prepare the 2018 combined common-size, common-base year balance sheet for Just...

Preparing Standardized Financial Statements [LO1] Prepare the 2018 combined common-size, common-base year balance sheet for Just Dew It. Sources and Uses of Cash [LO1] For each account on this company’s balance sheet, show the change in the account during 2018 and note whether this change was a source or use of cash. Do your numbers add up and make sense? Explain your answer for total assets as compared to your answer for total liabilities and owners’ equity. JUST DEW IT...

Using vertical analysis, prepare a common size comparative balance sheet. (Round percentages to 0 decimal places,...

Using vertical analysis, prepare a common size comparative balance sheet. (Round percentages to 0 decimal places, eg, 12%.) Delta COMPANY Comparative Balance Sheet December 31, 2017 2016 Amount Percentage Amounft $280 520 ssets Percentage Current assets $450 Plant assets 550 Total assets Liabilities and stockholders' equity Current liabilities Long-term debt Common stock $1,000 $800 $120 160 320 200 $180 250 310 Retained earnings 260 Total liabilities and stockholders' equity $1,000 $800

(Preparing common-size financial statements) As the newest hire to the financial analysis group at Patterson Printing...

Homework Answers