12. Horizontal Analysis LO2 The following asset information is available for BSI
ID: 2466170 • Letter: 1
Question
12.
Horizontal Analysis LO2
The following asset information is available for BSI Inc.:
2012
2011
Cash $
35,000
$ 60,000
Accounts receivable
60,000
55,000
Inventory
125,000
175,000
Total current assets
220,000
290,000
Property and equipment
175,000
150,000
Total assets
$395,000
$440,000
Required
Prepare a horizontal analysis of BSI's assets. Round percentages to one decimal point (i.e., 12.8%).
2012
2011
Cash $
35,000
$ 60,000
Accounts receivable
60,000
55,000
Inventory
125,000
175,000
Total current assets
220,000
290,000
Property and equipment
175,000
150,000
Total assets
$395,000
$440,000
Explanation / Answer
Statement showing Horizontal Analysis Particulars 2012 2011 Variance in $ Variance in % Comments Cash 35,000.00 60,000.00 (25,000.00) -41.7% Cash Has decreased Accounts Receivable 60,000.00 55,000.00 5,000.00 9.1% A/R has increased Inventory 125,000.00 175,000.00 (50,000.00) -28.6% Inventory has decreased Total Current Assets 220,000.00 290,000.00 (70,000.00) -24.1% Total CA have decreased Property and Equipment 175,000.00 150,000.00 25,000.00 16.7% Property and Equipment have increased Total Assets 395,000.00 440,000.00 (45,000.00) -10.2% Overall assets have decreased
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.