Ex. 184
Using the following selected items from the comparative statements of financial position of Anders Company, illustrate horizontal and vertical analysis.
December 31, 2014December 31, 2013
Inventory$ 1,053,000$ 780,000
Accounts Receivable 900,000 600,000
Total Assets4,000,0002,500,000
Ex. 185
The comparative condensed statements of financial position of Bailey Corporation are presented below.
BAILEY CORPORATION
Comparative Condensed Statements of Financial Position
December 31
20142013
Assets
Property, plant, and equipment (net) $ 94,500 $ 90,000
Intangibles 33,500 40,000
Current assets 70,000 80,000
Total assets$198,000$210,000
Equity and liabilities
Shareholders' equity $ 16,200 $ 12,000
Non-current liabilities141,000150,000
Current liabilities 40,800 48,000
Total equity and liabilities$198,000$210,000
Instructions
(a)Prepare a horizontal analysis of the statements of financial position data for Bailey Corporation using 2013 as a base.
(b)Prepare a vertical analysis of the statements of financial position data for Bailey Corporation in columnar form for 2014.