FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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4. Kedzie Kord Company had the following balance sheets and income statements over the
last three years (in thousands):
Cash
Receivables
Inventories
Current assets
Net fixed assets
Total assets
Payables
Accruals
Bank loan
Current liabilities
Long-term debt
Shareholder's equity
Total liabilities and
shareholder's equity
Sales
Cost of goods sold
Selling, general, and
administrative expenses
Interest
Profit before taxes
Taxes
Profit after taxes
20X1
$ 561
1,963
2,031
$ 4,555
2,581
$ 7,136
$ 1,862
301
250
$ 2,413
500
4,223
$ 7,136
$11,863
8,537
2,276
73
$ 977
390
$ 587
20X2
$ 387
2,870
2,613
$ 5,870
4,430
$10,300
$ 2,944
516
900
$ 4,360
1,000
4,940
$10,300
$14,952
11,124
2,471
188
$ 1,169
452
$ 717
20X3
$ 202
4,051
3,287
$ 7,540
4,364
$11,904
$ 3,613
587
1,050
5,250
950
5,704
$11,904
$16,349
12,016
2,793
200
$ 1,340
576
$ 764
Using common-size and index analysis, evaluate trends in the company's financial condi-
tion and performance.
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Transcribed Image Text:4. Kedzie Kord Company had the following balance sheets and income statements over the last three years (in thousands): Cash Receivables Inventories Current assets Net fixed assets Total assets Payables Accruals Bank loan Current liabilities Long-term debt Shareholder's equity Total liabilities and shareholder's equity Sales Cost of goods sold Selling, general, and administrative expenses Interest Profit before taxes Taxes Profit after taxes 20X1 $ 561 1,963 2,031 $ 4,555 2,581 $ 7,136 $ 1,862 301 250 $ 2,413 500 4,223 $ 7,136 $11,863 8,537 2,276 73 $ 977 390 $ 587 20X2 $ 387 2,870 2,613 $ 5,870 4,430 $10,300 $ 2,944 516 900 $ 4,360 1,000 4,940 $10,300 $14,952 11,124 2,471 188 $ 1,169 452 $ 717 20X3 $ 202 4,051 3,287 $ 7,540 4,364 $11,904 $ 3,613 587 1,050 5,250 950 5,704 $11,904 $16,349 12,016 2,793 200 $ 1,340 576 $ 764 Using common-size and index analysis, evaluate trends in the company's financial condi- tion and performance.
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