What does the vertical analysis reveal for ABC corporation in terms of Implications to Financial Management COMMON-SIZE INCOME STATEMENTFOR THE YEARS ENDED DECEMBER 31, 2024 AND 2025Common SizePercentage2025202420252024Sales3,007,8872,732,712100.00100.00Less: Cost of good sold2,208,5201,964,86573.4271.90Gross Profit799,367767,84726.5828.10Less: Selling ExpensesAdministrative Expenses372,000345,00012.3712.62213,000207,000579,0006.887.79Total Operating Expenses558,00019.2520.42Operating IncomeLess: Interest Expense220,367209,8477.337.6841,86043,9051.391.61Net Income before taxes178,507165,9425.936.07Less: Income Tax62,47758,0802.082.13Net Income after taxes116,030107,8623.863.95 COMMON-SIZE COMPARATIVE STATEMENT OF FINANCIAL POSITIONDECEMBER 31, 2024 AND 2025COMMON SIZEPERCENTAGE20252024AssetsCurrent AssetsCash & Cash Equivalent10.5310.50Trade & Other Receivables32.3128.71Inventory33.0230.80Prepaid Expense10.0211.88Total Current Assets85.8781.99Noncurrent AssetaProperty, Plant & EquipmentIntangibles13.3917.230.740.78Total Noncurrent Assets14.1318.01TOTAL ASSETS100.00100.00LIABILITIES AND SHAREHOLDER'S EQUITYCurrent LiabilitiesTrade & Other Payables23.4721.60Unearned Revenues10.608.53Notes Payable- Current4.444.66Total Current Liabilities38.5134.79Noncurrent LiabilitiesNotes Payable - noncurrent20.5526.23Total Liabilities59.0661.02Shareholders' EquityPreference SharesP100 par10.3510.87Ordinary Shares, P1 parPremium on Ordinary SharesTotal Paid-in-Capital1.481.5513.3113.9725.1526.39Retained EarningsTotal Shareholder's Equity15.7912.5940.9438.98TOTAL LIABILITIES & SHAREWHOLDERS' EQUITY100.00100.00

Financial statements are the statements which show the financial position and revenues, expenses and…

Answered: What does the vertical analysis reveal…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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React Corporation Comparative Statements of Financial Position December 31, 2025 and 2024 2025 2024 Assets Current Assets Cash & Cash Equivalent 106,789 102,375 Trade & Other Receivables 327,611 277,467 Inventory 331,863 297,654 Prepaid Expenses 101,565 114,813 Total Current Assets 870,828 792,309 Noncurrent Assets Property, Plant & Equipment Intangibles 135,754 166,481 Total Noncurrent Assets 7,500 7,500 TOTAL ASSETS 143,254 173,981 1,014,082 966,290 Liabilities and Shareholders’ Equity Current Liabilities Trade & Other Payables Unearned Revenues 238,000 208,703 Notes Payables - current 107,508 82,456 Total Current Liabilities 45,000 45,000…
D CONSOLIDATED STATEMENTS OF FINANCIAL POSITION December 31, December 31, PERCENTAGE 2021 2020 USD USD Assets Current assets Cash and cash equivalents 34,115,412 25,681,845 Short-term financial instruments 71,417,748 80,798,680 Short-term financial assets at amortized cost 2,944,705 2,409,853 Short-term financial assets at fair value through profit or loss 35,624 62,452 Trade receivables 35,585,565 27,065,012 Non-trade receivables 3,930,828 3,150,548 Prepaid expenses 2,042,001 1,980,685 Inventories 36,172,043 28,007,314 Other current assets 4,441,629 3,281,589 Assets held-for-sale - 812,370 Total Current Assets 190,685,555 173,250,348 Non-current assets Financial assets at fair value through other comprehensive income 12,206,843 10,991,369 Financial assets at fair value through profit or loss 1,333,227 1,051,455 Investment in associates and joint ventures…
Use the below information to answer the following questions: 20202021Sales$11,573$12,936Depreciation 1661 1736Cost of goods sold 3979 4707Other Expenses 846 924Interest Expense 776 926Cash 6067 6466Accounts Receivables 8034 9427Short-term Notes Payable 1171 1147Long-term debt 20,320 24,696Net fixed assets 50,888 54,273Accounts Payable 4384 4644Tax rate 26% 34%Inventory 14,283 15,288Payout ratio 33% 30% A. Create the Balance Sheets for 2020 & 2021.
Use the below information to answer the following questions: 20202021Sales$11,573$12,936Depreciation 1661 1736Cost of goods sold 3979 4707Other Expenses 846 924Interest Expense 776 926Cash 6067 6466Accounts Receivables 8034 9427Short-term Notes Payable 1171 1147Long-term debt 20,320 24,696Net fixed assets 50,888 54,273Accounts Payable 4384 4644Tax rate 26% 34%Inventory 14,283 15,288Payout ratio 33% 30% A. Create the Income Statements for 2020 and 2021 (including dividends paid and retained earnings).
Return on total assets ratio: net income/ average total assets 21,331/(321,195+225,248)/2= 0.07807= 7.8% (2020 year) 11588/(162,648+225,248)/2= 0.059= 6.0% (2019 year) Write financial analysis report.
Problem 21-17 (Algo) Statement of cash flows; indirect method [LO21-4, 21-8] Comparative balance sheets for 2021 and 2020 and a statement of income for 2021 are given below for Metagrobolize Industries. Additional information from the accounting records of Metagrobolize also is provided. METAGROBOLIZE INDUSTRIESComparative Balance SheetsDecember 31, 2021 and 2020($ in thousands) 2021 2020 Assets Cash $ 405 $ 245 Accounts receivable 350 190 Inventory 500 275 Land 500 450 Building 900 900 Less: Accumulated depreciation (200 ) (180 ) Equipment 2,500 2,150 Less: Accumulated depreciation (325 ) (300 ) Patent 1,000 1,150 $ 5,630 $ 4,880 Liabilities Accounts payable $ 600 $ 400 Accrued liabilities 150 130 Lease liability—land 130 0 Shareholders' Equity Common stock…
Please calculate the verticle and horizontal analysis of the balance sheet. Consolidated Balance Sheets (USD $) 12/31/2020 Vertical Analysis 12/31/2019 Vertical Analysis Horizontal Analysis In Millions, unless otherwise specified Current Assets: Cash and Cash Equivalents $1,723 $1,929 Receivables, net 1,484 1,398 Merchandise Inventories 11,079 11,057 Other Current Assets 1,016 895 Total Current Assets 15,302 15,279 Property and Equipment, at cost 38,513 39,064 Less Accumulated Depreciation and Amortization 15,793 15,716 Net Property and Equipment 22,720 23,348 Goodwill 1,353 1,289 Other Assets 571 602 Total Assets 39,946 40,518 Current Liabilities: Short-Term Debt 290 0 Accounts Payable 5,807 5,797 Accrued Salaries and Related Expenses 1,391 1,428 Sales Taxes Payable 434 396 Deferred Revenue 1,468…
ShafNita Sdn. Bhd. Statement of Financial Position as at 31 December2019 2020RM RM RM RM Non Current AssetsBuilding 100,000 100,000Fixtures less accumulated depreciation 3,600 4,000Van less accumulated depreciation 7,840 14,800111,440 118,800 Current AssetInventory 11,200 24,800Trade account receivable 12,800 16,400Bank 1,800 -Cash 440 400 26,240 41,600Total assets 137,680 160,400Finance by:Capital account:Balance at 1 January 74,080 105,080Add: Net profit for the year 70,400 42,320Cash introduced - 20,000144,480 167,400Less: Drawings (39,400) (43,200)105,080 124,200 Non Current LiabilitiesLoan (repayable in 10 years time) 20,000 30,000Current LiablitiesAccount Payable 12,600 6,012Bank overdraft - 188Retained earnings 32,600 36,200Total liabilities and equity 137,680 160,400 Additional information at 31 December 2020:  Fixtures bought in 2020 cost RM800. Van bought in 2020 cost RM11,000. Required: Prepare statement of cash flow for ShafNita Sdn. Bhd. for the year ended 31 December…
What is Ratio Corporation's Fiscal 2021 Return on Assets? Question 12 options: 35.18% 53.53% 31.88% 48.84%
SalesOperating costs (excluding depreciation and amortization) EBITDADepreciation and amortization Earnings before interest and taxes Interest Earnings before taxesTaxes (40%)Net income available to common stockholders Common dividendsSEBRINGCORPORATION: BALANCESHEETSFORYEARENDINGDECEMBER31 (FIGURES ARE STATED IN MILLIONS) Assets: Cash and marketable securities Accounts receivableInventories Total current assets Gross Fixed Assets Less DepreciationNet plant and equipment Total assets 2005 2004 $3,600.0 $3,000.0 $3,060.0 $2,550.0 $540.0 $450.0 90.0 75.0 $450.0 $375.0 65.0 60.0 $385.0 $315.0 154.0 126.0 $231.0 $189.0 $15.0 $13.0 2005 2004 $ 36.00 $ 30.00 $ 340.00 $ 250.00 $ 457.00 $ 351.00 $ 833.00 $ 631.00 $ 1,065.00 $ 825.00 $ (165.00) $ (75.00) $ 900.00 $ 750.00 $ 1,733.00 $ 1,381.00 $ 324.00 $ 270.00 $ 201.00 $ 155.00 $ 216.00 $ 180.00 $ 741.00 $ 605.00 $ 450.00 $ 450.00 $ 1,191.00 $ 1,055.00 $ 150.00 $ 150.00 $ 392.00 $ 176.00 $ 542.00 $ 326.00 $ 1,733.00 $ 1,381.00…
E23.10B (L0 1,4) (Classification of Transactions) Following are selected balance sheet accounts of BioLazer Corp. at December 31, 2020 and 2019, and the increases or decreases in each account from 2019 to 2020. Also presented is selected income statement information for the year ended December 31, 2020, and additional information. Increase Selected balance sheet accounts 2020 2019 (Decrease)AssetsAccounts receivable $154,000 $120,000 $34,000Property, plant, and equipment 631,000 581,000 50,000Accumulated…
2018 Total industry assets = STANBIC + BARCLAYS = 6,205,018 + 8,994,562 = 15,199,580Concentration of STANBIC = 6,205,018 / 15,199,580 = 0.408236 = 0.41 = 41%Concentration of BARCLAYS = 8,994,562 / 15,199,580 = 0.591764 = 0.59 = 59% 2019Total industry assets = STANBIC + ASBA = 9,295,682 + 11,772,546 = 21,068,228Concentration of STANBIC = 9,295,682 / 21,068,228 = 0.441218 = 0.44 = 44%Concentration of ASBA = 11,772,546 / 21,068,228 = 0.558782 = 0.56 = 56% 2020Total industry assets = STANBIC + ASBA =12,742,132 + 12,546,473 = 25,288,605Concentration of STANBIC = 12,742,132 / 25,288,605 = 0.503869 = 0.50 = 50%Concentration of ASBA = 12,546,473 / 25,288,605 =0.496131= 0.50 = 50% Based on the five-firm concentration ratios calculated in above, determine the level of competition

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