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Comparative balance sheets are available for Floatlin Group: Floatlin Group Comp

ID: 1170836 • Letter: C

Question

Comparative balance sheets are available for Floatlin Group:

                                                                                  Floatlin Group

                                                                   Comparative Balance Sheets

                                                                   December 31, 2X13 and 2X12

                                                          2X13      2X12                                                                  2X13      2X12

Current Assets:                                                                             Current Liabilities:

        Cash                                          $ 20       $ 15                        Accounts Payable        $ 24       $ 20

        Accounts Receivable              45           37                               Taxes Payable           11           15

        Inventory                                    60           70                                 Note Payable              7           18

Total Current Assets                  $125      $122                       Total Current Liab.       $ 42        $ 53

Long-Term Assets:                                                                  Long-Term Liabilities           80           30

        Equipment                            $290      $200                              Total Liabilities      $122        $ 83

        Less: Accum. Depr.             (160)      (140)                Stockholders' Equity:

Total Long-Term Assets           $130       $ 60                             Common Stock        $ 40        $ 40

                                                                                                            Retained Earnings           93           59

                                                                                            Total Stockholders' Equity      $133        $ 99

                                                                                                                       Total Liab. &

Total Assets                                  $255      $182                   Stockholders' Equity      $255       $182

Prepare a common-size balance sheet for Floatlin Group at December 31, 2X13.

*TEXT, NO PIC PLEASE

Explanation / Answer

Floatin Group Common Size Balance Sheet ($) ($) (%) (%) as of as of as of as of 12/31/20X3 12/31/20X2 12/31/20X3 12/31/20X2 Current assets Cash $20 $15 7.84% 8.24% Accounts receivable 45 37 17.65% 20.33% Inventory 60 70 23.53% 38.46% Total current assets $125 $122 49.02% 67.03% Total fixed assets (Equipment) 130 60 50.98% 32.97% Total Assets $255 $182 100.00% 100.00% Current liabilities Accounts payable $24 $20 9.41% 10.99% Taxes Payable 11 15 4.31% 8.24% Notes payable 7 18 2.75% 9.89% Total current liabilities $42 $53 16.47% 29.12% Long-term debt 80 30 31.37% 16.48% Total liabilities 122 83 47.84% 45.60% Stockholders’ equity Common Stock 40 40 15.69% 21.98% Retained Earnings 93 59 36.47% 32.42% Total liabilities and equity $255 $182 100.00% 100.00%

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