Saved16 Homework OComplete a horizontal analysis for Brown Company. (Negative answers should be indicated by a minus sign. Leave no cells blank -be certain to enter "0" wherever required. Round the "percent" answers to the nearest hundredth percent.) Comparative Balance SheetDecember 31, 2020 and 2019Increase (Decrease)20202019AmountPercentAssetsCurrent assets:Cash12,750 S8,250Accounts receivable20,25015,000Merchandise inventory20,25024,750Prepaid advertising57,00047,250Total current assets110,250%2495,250Plant and equipment:Building (net)121,500 $128,250Land97,50097,500Total plant and equipment219,000 $225,750Total assets329,250 $321,000LiabilitiesCurrent liabilities:Accounts payable134,250 $121,500Salaries payable24,75019,500Total current liabilities159,000 $141,000Long-term liabilities:Mortgage note payable101,25088,500Total liabilities260,250 $229,500Owner's EquityJ. Brown, capital69,00091,500Total liabilities and owner's equity329,250321,000%24%24

Horizontal analysis is a kind of financial statement analysis which is used to compare the data of…

Comparative Balance Sheet December 31, 2020 and 2019 Increase (Decrease) 2020 2019 Amount Percent Assets Current assets: Cash 8,250 15,000 24,750 47,250 12,750 Accounts receivable 20,250 Merchandise inventory 20,250 Prepaid advertising 57,000 Total current assets 110,250 $ 95,250 Plant and equipment: Building (net) 121,500 $ 128,250 Land 97,500 225,750 321,000 97,500 Total plant and equipment 219,000 $ Total assets 2. 329,250 $ Liabilities Current liabilities: Accounts payable 121,500 19,500 141,000 134,250 %24 Salaries payable 24,750 Total current liabilities 159,000 %24 Long-term liabilities: Mortgage note payable 101,250 88,500 Total liabilities 24 260,250 $ 229,500 Owner's Equity J. Brown, capital Total liabilities and owner's equity 91,500 321,000 69,000 329,250 $ %24 %24 %24

Comparative Balance Sheet December 31, 2020 and 2019 Increase (Decrease) 2020 2019 Amount Percent Assets Current assets: Cash 8,250 15,000 24,750 47,250 12,750 Accounts receivable 20,250 Merchandise inventory 20,250 Prepaid advertising 57,000 Total current assets 110,250 $ 95,250 Plant and equipment: Building (net) 121,500 $ 128,250 Land 97,500 225,750 321,000 97,500 Total plant and equipment 219,000 $ Total assets 2. 329,250 $ Liabilities Current liabilities: Accounts payable 121,500 19,500 141,000 134,250 %24 Salaries payable 24,750 Total current liabilities 159,000 %24 Long-term liabilities: Mortgage note payable 101,250 88,500 Total liabilities 24 260,250 $ 229,500 Owner's Equity J. Brown, capital Total liabilities and owner's equity 91,500 321,000 69,000 329,250 $ %24 %24 %24

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter2: Working With The Tax Law

Section: Chapter Questions

Problem 1RP

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