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Required information [The following information applies to the questions display

ID: 2574028 • Letter: R

Question

Required information [The following information applies to the questions displayed below.] Comparative financial statements for Weaver Company follow: Weaver Company Comparative Balance Sheet at December 31 This Year Last Year Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment 306 159 $ 11 230 195 482 507 85 422 26 $ 930 442 429 71 358 32 $832 Less accumulated depreciation Net property, plant, and equipment Long-term investments Total assets Liabilities and Stockholders' Equity Accounts payable Accrued liabilities Income taxes payable Total current liabilities Bonds payable Totalliabilities Common stock Retained earnings Total stockholders' equity $ 304 71 72 447 198 645 163 122 285 $ 930 $224 78 64 366 172 538 200 94 294 $832 Total liabilities and stockholders' equity

Explanation / Answer

comparative financial statement of weaver company at 31stdecember

particulars

Last year

This year

Absolute change

percentage change

Assets

Cash

$                  11

$                   8

($3)

-27.27%

accounts receivable

$                230

$               306

$                           76

33%

Inventory

$                195

$               159

($36)

-18.46%

prepaid expenses

$                    6

$                  9

$                             3

50%

Total current assets

$                442

$               482

$                           40

9.04%

property, plant and equipment

$                429

$               507

$                           78

18.18%

Less: accumulated depreciation

($71)

($85)

($14)

-19.71%

net property, plant, and equipment

$                358

$               422

$                           64

11.89%

long term investment

$                  32

$                 26

($6)

-19%

total assets

$                832

$               930

$                           98

11.77%

Liabilities and stockholder equity

accounts payable

$                224

$               304

$                           80

35.71%

accrued liabilities

$                  78

$                 71

($7)

-8.97%

income tax payable

$                  64

$                72

$                             8

12.50%

Total current liabilities

$                366

$               447

$                           81

22.13%

bonds payable

$                172

$               198

$                           26

15.11%

Total liabilities

$                538

$               645

$                         107

19.88%

common stock

$               200

$              163

($37)

-18.50%

retained earnings

$                  94

  $              122

$                           28

29.78%

total stock holder equity

$                294

$                285

($9)

-3.06%

Total liabilities and stockholder equity

$                832

$               930

$                           98

11.77%

Absolute change=difference in change in last year when compared to this year .it means increase or decrease in last year and current year

Percentage change = (absolute change/last year)*100

comparative financial statement of weaver company at 31stdecember

particulars

Last year

This year

Absolute change

percentage change

Assets

Cash

$                  11

$                   8

($3)

-27.27%

accounts receivable

$                230

$               306

$                           76

33%

Inventory

$                195

$               159

($36)

-18.46%

prepaid expenses

$                    6

$                  9

$                             3

50%

Total current assets

$                442

$               482

$                           40

9.04%

property, plant and equipment

$                429

$               507

$                           78

18.18%

Less: accumulated depreciation

($71)

($85)

($14)

-19.71%

net property, plant, and equipment

$                358

$               422

$                           64

11.89%

long term investment

$                  32

$                 26

($6)

-19%

total assets

$                832

$               930

$                           98

11.77%

Liabilities and stockholder equity

accounts payable

$                224

$               304

$                           80

35.71%

accrued liabilities

$                  78

$                 71

($7)

-8.97%

income tax payable

$                  64

$                72

$                             8

12.50%

Total current liabilities

$                366

$               447

$                           81

22.13%

bonds payable

$                172

$               198

$                           26

15.11%

Total liabilities

$                538

$               645

$                         107

19.88%

common stock

$               200

$              163

($37)

-18.50%

retained earnings

$                  94

  $              122

$                           28

29.78%

total stock holder equity

$                294

$                285

($9)

-3.06%

Total liabilities and stockholder equity

$                832

$               930

$                           98

11.77%

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