FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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2. Prepare a horizontal analysis for 2025 using 2024 as the base year. (Note: If the percentage increase or decrease cannot be
calculated, then leave the cell blank. Decreases should be indicated by a minus sign. Round your percentage answers to 1 decimal
place.)
Assets
Cash
Accounts receivable
Inventory.
Buildings
Answer is complete but not entirely correct.
FEDERER SPORTS APPAREL
Balance Sheet
December 31
Less: Accumulated depreciation
Total assets
Liabilities and Stockholders' Equity
Accounts payable
Contingent liability
Common stock
Retained earnings
Total liabilities and stockholders' equity
2025
Year
2024
$ 1,712,500 $ 600,000
1,175,000
780,000
2,862,500
1,120,000
8,250,000
8,250,000
(1.500,000)
(750,000)
$12,500,000 $10,000,000
1,200,000
5,100,000
4,962,500
$12,500,000
Increase (Decrease)
Amount
%
$1,112,500
395,000
1,742,500
00
750,000
$2,500,000
$ 1,237,500 $ 1,300,000
1,120,000
5,100,000
2,480,000
2,482,500
$10,000,000 $2,500,000
$(62,500)
80,000
00
185.4
50.6
155.0 x
00
100.0
25.0
(4.8)
70
00
100.1
25.0
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Transcribed Image Text:2. Prepare a horizontal analysis for 2025 using 2024 as the base year. (Note: If the percentage increase or decrease cannot be calculated, then leave the cell blank. Decreases should be indicated by a minus sign. Round your percentage answers to 1 decimal place.) Assets Cash Accounts receivable Inventory. Buildings Answer is complete but not entirely correct. FEDERER SPORTS APPAREL Balance Sheet December 31 Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Contingent liability Common stock Retained earnings Total liabilities and stockholders' equity 2025 Year 2024 $ 1,712,500 $ 600,000 1,175,000 780,000 2,862,500 1,120,000 8,250,000 8,250,000 (1.500,000) (750,000) $12,500,000 $10,000,000 1,200,000 5,100,000 4,962,500 $12,500,000 Increase (Decrease) Amount % $1,112,500 395,000 1,742,500 00 750,000 $2,500,000 $ 1,237,500 $ 1,300,000 1,120,000 5,100,000 2,480,000 2,482,500 $10,000,000 $2,500,000 $(62,500) 80,000 00 185.4 50.6 155.0 x 00 100.0 25.0 (4.8) 70 00 100.1 25.0
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