Concept explainers
Prepare the following statements on separate sheets of paper.
a. Use the following financial information to calculate the owner’s equity and prepare a balance sheet with vertical analysis as of December 31. 2015. for Victory Lane Sporting Goods, a sole proprietorship owned by Kyle Pressman: current assets. $157.600; property, plant, and equipment. $42,000: investments and other assets. $38.700: current liabilities. $21.200: and long-term liabilities. $53,400.
Victory Lane Sporting Goods
Balance Sheet
December 31.2015
b. The following financial information is for Victory Lane Sporting Goods as of December 31. 2016: current assets, $175,300: property, plant, and equipment. $43,600: investments and other assets. $39,200: current liabilities. $27,700; and long-term liabilities. $51.000.
Calculate the owner’s equity for 2016 and prepare a comparative balance sheet with horizontal analysis for 2015 and 2016.
Victory Lane Sporting Goods
Comparative Balance Sheet
December 31,2015 and 2016
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