Below is the balance sheet and income statement for Chin Corporation. You are needed to analyze the financial statements. Use the horizontal, vertical, ratio methods to analyze the financial statements. For the vertical and horizontal analysis, type the accounts and dollar values for the years 2018 and 2017 (as listed on the financial statements even if there is no dollar value for an account). For the ratio analysis, make sure to compute 2 ratios from each section. Income Statement Period Ending: 12/31/2018 12/31/2017 Total Revenue $76,512,000 $78,291,000 Cost of Revenue $54,884,000 $56,586,000 Gross Profit $21,628,000 $21,706,000 Operating Expenses Research and Development $0 $0 Sales, General, and Admin. $13,886,000 $13,599,000 Non-Recurring Items $0 $0 Other Operating Items $0 $0 Operating Income $7,832,000 $8,079,000 Add'l income/expense items -$323,000 $1,173,000 Earnings Before Interest and Tax $7,508,000 $9,253,000 Interest Expense $103,000 $113,000 Earnings Before Tax $7,405,000 $9,140,000 Income Tax $1,641,000 $407,000 Minority Interest $89,000 -$27,000 Equity Earnings/Loss Unconsolidated Subsidiary -$371,000 -$454,000 Net Income-Cont. Operations $5,482,000 $8,251,000 Net Income $5,393,000 $8,278,000 Net Income Applicable to Common Shareholders $5,393,000 $8,278,000 Balance Sheet Period Ending: 12/31/2018 12/31/2017 Current Assets Cash and Cash Equivalents $14,009,000 $13,281,000 Short-Term Investments $17,116,000 $11,967,000 Net Receivables $11,033,000 $11,649,000 Inventory $5,465,000 $5,902,000 Other Current Assets $5,502,000 $4,601,000 Total Current Assets $53,125,000 $47,401,000 Long-Term Assets Long-Term Investments $117,958,000 $105,928,000 Fixed Assets $12,054,000 $7,020,000 Goodwill $7,261,000 $6,944,000 Intangible Assets $8,396,000 $8,293,000 Other Assets $7,108,000 $6,767,000 Deferred Asset Charges $7,515,000 $7,207,000 Total Assets $213,416,000 $189,561,000 Current Liabilities Accounts Payable $39,062,000 $37,319,000 Short-Term Debt / Current Portion of Long-Term Debt $11,309,000 $11,593,000 Other Current Liabilities $7,435,000 $6,017,000 Total Current Liabilities $57,806,000 $54,929,000 Long-Term Debt $5,882,000 $5,135,000 Other Liabilities $100,200,000 $84,532,000 Deferred Liability Charges $5,090,000 $4,801,000 Misc. Stocks $6,153,000 $6,237,000 Minority Interest $72,000 $80,000 Total Liabilities $175,131,000 $155,635,000 Stock Holders Equity Common Stocks $8,154,000 $7,899,000 Capital Surplus $25,648,000 $20,966,000 Retained Earnings -$2,154,000 -$946,000 Treasury Stock $11,947,000 $11,446,000 Other Equity -$5,382,000 -$5,517,000 Total Equity $38,213,000 $33,847,000 Total Liabilities & Equity $213,416,000 $189,561,000
Below is the
Income Statement
|
Period Ending: |
12/31/2018 |
12/31/2017 |
||
|
Total Revenue |
$76,512,000 |
$78,291,000 |
||
|
Cost of Revenue |
$54,884,000 |
$56,586,000 |
||
|
Gross Profit |
$21,628,000 |
$21,706,000 |
||
|
Operating Expenses |
||||
|
Research and Development |
$0 |
$0 |
||
|
Sales, General, and Admin. |
$13,886,000 |
$13,599,000 |
||
|
Non-Recurring Items |
$0 |
$0 |
||
|
Other Operating Items |
$0 |
$0 |
||
|
Operating Income |
$7,832,000 |
$8,079,000 |
||
|
Add'l income/expense items |
-$323,000 |
$1,173,000 |
||
|
Earnings Before Interest and Tax |
$7,508,000 |
$9,253,000 |
||
|
Interest Expense |
$103,000 |
$113,000 |
||
|
Earnings Before Tax |
$7,405,000 |
$9,140,000 |
||
|
Income Tax |
$1,641,000 |
$407,000 |
||
|
Minority Interest |
$89,000 |
-$27,000 |
||
|
Equity Earnings/Loss Unconsolidated Subsidiary |
-$371,000 |
-$454,000 |
||
|
Net Income-Cont. Operations |
$5,482,000 |
$8,251,000 |
||
|
Net Income |
$5,393,000 |
$8,278,000 |
||
|
Net Income Applicable to Common Shareholders |
$5,393,000 |
$8,278,000 |
Balance Sheet
|
Period Ending: |
12/31/2018 |
12/31/2017 |
||
|
Current Assets |
||||
|
Cash and Cash Equivalents |
$14,009,000 |
$13,281,000 |
||
|
Short-Term Investments |
$17,116,000 |
$11,967,000 |
||
|
Net Receivables |
$11,033,000 |
$11,649,000 |
||
|
Inventory |
$5,465,000 |
$5,902,000 |
||
|
Other Current Assets |
$5,502,000 |
$4,601,000 |
||
|
Total Current Assets |
$53,125,000 |
$47,401,000 |
||
|
Long-Term Assets |
||||
|
Long-Term Investments |
$117,958,000 |
$105,928,000 |
||
|
Fixed Assets |
$12,054,000 |
$7,020,000 |
||
|
|
$7,261,000 |
$6,944,000 |
||
|
Intangible Assets |
$8,396,000 |
$8,293,000 |
||
|
Other Assets |
$7,108,000 |
$6,767,000 |
||
|
Deferred Asset Charges |
$7,515,000 |
$7,207,000 |
||
|
Total Assets |
$213,416,000 |
$189,561,000 |
||
|
Current Liabilities |
||||
|
Accounts Payable |
$39,062,000 |
$37,319,000 |
||
|
Short-Term Debt / Current Portion of Long-Term Debt |
$11,309,000 |
$11,593,000 |
||
|
Other Current Liabilities |
$7,435,000 |
$6,017,000 |
||
|
Total Current Liabilities |
$57,806,000 |
$54,929,000 |
||
|
Long-Term Debt |
$5,882,000 |
$5,135,000 |
||
|
Other Liabilities |
$100,200,000 |
$84,532,000 |
||
|
Deferred Liability Charges |
$5,090,000 |
$4,801,000 |
||
|
Misc. Stocks |
$6,153,000 |
$6,237,000 |
||
|
Minority Interest |
$72,000 |
$80,000 |
||
|
Total Liabilities |
$175,131,000 |
$155,635,000 |
||
|
Stock Holders Equity |
||||
|
Common Stocks |
$8,154,000 |
$7,899,000 |
||
|
Capital Surplus |
$25,648,000 |
$20,966,000 |
||
|
|
-$2,154,000 |
-$946,000 |
||
|
|
$11,947,000 |
$11,446,000 |
||
|
Other Equity |
-$5,382,000 |
-$5,517,000 |
||
|
Total Equity |
$38,213,000 |
$33,847,000 |
||
|
Total Liabilities & Equity |
$213,416,000 |
$189,561,000 |
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