BE14-3. Using following data from the comparative balance sheet of Goody company
ID: 2560046 • Letter: B
Question
BE14-3. Using following data from the comparative balance sheet of Goody company, illustrate horizontal analysis.Dec2017 Dec 2016 Accounts receivable. $520,000. $400,000 Inventory. 840,000. 600,000 Total Analysis. 3,000,000. 2,500,000
14 Financial Statement Analysis tmnthe followving data from the comparative balance sheet of Goody Company. illustrate horizontal analysis. Accounts receivable Inventory Total assets December 31, 2017 520,000 840,000 3,000,000 December 31, 2016 S 400,000 600,000 2,500,000
Explanation / Answer
HORIZONTAL ANALYSIS
On the basis of above its clear that comany have inecrase its accounts receivable by 30%, Inventory By 40% and Total Assets By 20%.
December 31,2017 (A) December 31,2016 (B) Incerase Amount (C=A-B) Percentage Increase (D=C/B*100) Accounts Receivable $ 520,00 $ 400,000 $ 120,000 30% Inventory $ 840,000 $ 600,000 $ 240,000 40% Total Assets $ 3,000,000 $ 2,500,000 $ 500,000 20%Related Questions
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