To determine To complete: The horizontal analysis of the comparative balance sheet for BROWN COMPANY. Explanation Calculate change in cash: Cash for 2016 = $ 10 , 500 Cash for 2017 = $ 15 , 750 Increase in amount of cash = $ 15 , 750 − $ 10 , 500 = $ 5 , 250 Calculate percentage increase in cash: Percent increase = $ 5 , 250 $ 10 , 500 × 100 = 50 % Calculate change in accounts receivable: Accounts receivable for 2016 = $ 13 , 500 Accounts receivable for 2017 = $ 18 , 000 Increase in amount of accounts receivable = $ 18 , 000 − $ 13 , 500 = $ 4 , 500 Calculate percentage increase in accounts receivable: Percent increase = $ 4 , 500 $ 13 , 500 × 100 = 33.33 % Calculate change in merchandise inventory: Merchandise inventory for 2016 = $ 22 , 500 Merchandise inventory for 2017 = $ 18 , 750 Decrease in amount of merchandise inventory = $ 22 , 500 − $ 18 , 750 = $ 3 , 750 Calculate percentage decrease in merchandise inventory: Percent decrease = $ 3 , 750 $ 22 , 500 × 100 = 16.67 % Calculate change in prepaid advertising: Prepaid advertising for 2016 = $ 45 , 000 Prepaid advertising for 2017 = $ 54 , 000 Increase in amount of prepaid advertising = $ 54 , 000 − $ 45 , 000 = $ 9 , 000 Calculate percentage increase in prepaid advertising: Percent increase = $ 9 , 000 $ 45 , 000 × 100 = 20 % Calculate change in total current assets: Total current assets for 2016 = $ 91 , 500 Total current assets for 2017 = $ 106 , 500 Increase in amount of total current assets = $ 106 , 500 − $ 91 , 500 = $ 15 , 000 Calculate percentage increase in total current assets: Percent increase = $ 15 , 000 $ 91 , 500 × 100 = 16.39 % Calculate change in building (net): Building (net) for 2016 = $ 126 , 000 Building (net) for 2017 = $ 120 , 000 Decrease in value of building (net) = $ 126 , 000 − $ 120 , 000 = $ 6 , 000 Calculate percentage decrease in building: Percent decrease = $ 6 , 000 $ 126 , 000 × 100 = 4.76 % Calculate change in land: Land for 2016 = $ 90 , 000 Land for 2017 = $ 90 , 000 Change in value of land = $ 90 , 000 − $ 90 , 000 = 0 There is no change in value of land. Calculate change in total plant and equipment Total plant and equipment for 2016 = $ 216 , 000 Total plant and equipment for 2017 = $ 210 , 000 Decrease in value of total plant and equipment = $ 216 , 000 − $ 210 , 000 = $ 6 , 000 Calculate percentage decrease in total plant and equipment: Percent decrease = $ 6 , 000 $ 216 , 000 × 100 = 2.78 % Calculate change in total assets: Total assets for 2016 = $ 307 , 500 Total assets for 2017 = $ 316 , 500 Increase in amount of total assets = $ 316 , 500 − $ 307 , 500 = $ 9 , 000 Calculate percentage increase in total assets: Percent increase = $ 9 , 000 $ 307 , 500 × 100 = 2.93 % Calculate change in accounts payable: Accounts payable for 2016 = $ 120 , 000 Accounts payable for 2017 = $ 132 , 000 Increase in amount of accounts payable = $ 132 , 000 − $ 120 , 000 = $ 12 , 000 Calculate percentage increase in accounts payable: Percent increase = $ 12 , 000 $ 120 , 000 × 100 = 10 % Calculate change in salaries payable: Salaries payable for 2016 = $ 18 , 000 Salaries payable for 2017 = $ 22 , 500 Increase in amount of salaries payable = $ 22 , 500 − $ 18 , 000 = $ 4 , 500 Calculate percentage increase in salaries payable: Percent increase = $ 4 , 500 $ 18 , 000 × 100 = 25 % Calculate change in total current liabilities: Total current liabilities for 2016 = $ 138 , 000 Total current liabilities for 2017 = $ 154 , 500 Increase in amount of total current liabilties = $ 154 , 500 − $ 138 , 000 = $ 16 , 500 Calculate percentage increase in total current liabilities: Percent increase = $ 16 , 500 $ 138 , 000 × 100 = 11

Practical Business Math Procedures with Business Math Handbook

12th Edition

ISBN: 9781259725067

Author: Jeffrey Slater, Sharon M. Wittry

Publisher: McGraw-Hill Education

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Chapter 16, Problem 3ECP

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To complete: The horizontal analysis of the comparative balance sheet for BROWN COMPANY.

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Chapter 16, Problem 2ECP

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Chapter 16 Solutions

Practical Business Math Procedures with Business Math Handbook

Ch. 16.1 - Complete this partial comparative balance sheet by...Ch. 16.1 - What is the amount of change in merchandise...Ch. 16.1 - Prob. 1EPQ Ch. 16.1 - Prob. 2EPQ Ch. 16.1 - Prob. 1AH Ch. 16.1 - Prob. 2AH Ch. 16.1 - Prob. 3AH Ch. 16.1 - Prob. 4AH Ch. 16.2 - From the following information, calculate: Net...Ch. 16.2 - Prob. 1EPQ

Ch. 16.2 - Prob. 1AH Ch. 16.2 - Prob. 2AH Ch. 16.2 - Prob. 3AH Ch. 16.2 - Prob. 4AH Ch. 16.3 - Prob. 1PQ Ch. 16.3 - Prob. 2PQ Ch. 16.3 - Prob. 1EPQ Ch. 16.3 - Prob. 2EPQ Ch. 16.3 - Prob. 1AH Ch. 16.3 - Prob. 2AH Ch. 16.3 - Prob. 3AH Ch. 16.3 - Prob. 4AH Ch. 16.3 - Prob. 5AH Ch. 16.3 - Prob. 6AH Ch. 16.3 - Prob. 7AH Ch. 16.3 - Prob. 8AH Ch. 16.3 - Prob. 9AH Ch. 16.3 - Prob. 10AH Ch. 16.3 - Prob. 11AH Ch. 16.3 - Prob. 12AH Ch. 16.3 - Prob. 13AH Ch. 16.3 - Prob. 14AH Ch. 16.3 - Prob. 15AH Ch. 16 - Prob. 1ECP Ch. 16 - From the following, prepare a classified balance...Ch. 16 - Complete a horizontal analysis for Brown Company,...Ch. 16 - Prepare an income statement for Hansen Realty for...Ch. 16 - Prob. 5ECP Ch. 16 - Prob. 6ECP Ch. 16 - Complete the comparative income statement and...Ch. 16 - From Problem 16–7, your supervisor has requested...Ch. 16 - From Problem 16–7, your supervisor has requested...Ch. 16 - From Problem 16–7, your supervisor has requested...Ch. 16 - From Problem 16–7, your supervisor has requested...Ch. 16 - From Problem 16–7, your supervisor has requested...Ch. 16 - From Problem 16–7, your supervisor has requested...Ch. 16 - From Problem 16–7, your supervisor has requested...Ch. 16 - William Burris invested $100,000 in an...Ch. 16 - General Motors announced a quarterly profit of...Ch. 16 - Find the following ratios for Motorola Credit...Ch. 16 - Assume figures were presented for the past 5 years...Ch. 16 - Don Williams received a memo requesting that he...Ch. 16 - The French bank Société Générale reported its 2014...Ch. 16 - At age 32, you have assets of $275,658 and...Ch. 16 - On January 1, Fete Rowe bought a ski chalet for...Ch. 16 - As the accountant for Tootsie Roll, you are asked...Ch. 16 - Given: Gross sales, $170,000; sales returns and...Ch. 16 - Complete the following partial comparative balance...Ch. 16 - Calculate the amount of increase or decrease and...Ch. 16 - Complete a trend analysis for sales, rounding to...Ch. 16 - From the following, prepare a balance sheet for...Ch. 16 - Solve from the following facts, rounding to the...

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