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Prepare a horizontal analysis of both the balance sheet and income statement.

Prepare a horizontal analysis of the balance sheet. (Negative answers should be indicated by a minus sign. Round your answers to 1 decimal place. (i.e., .234 should be entered as 23.4).)

ADAMS COMPANY Horizontal Analysis of Balance Sheets 2019 2018 Percentage Change Assets Current assets Cash $16,700 $12,100 % Marketable securities 20,200 7,400 Accounts receivable (net) 54,900 47,600 Inventories 135,200 144,500 Prepaid items 25,000 10,500 Total current assets 252,000 222,100 Investments 29,000 21,000 Plant (net) 270,900 255,700 Land 29,800 25,500 Total long-term assets 329,700 302,200 Total assets $581,700 $524,300 Liabilities and Stockholders Equity Liabilities Current liabilities Notes payable $15,800 $4,000 Accounts payable 113,000 98,200 Salaries payable 20,600 13,500 Total current liabilities 149,400 115,700 Noncurrent liabilities Bonds payable 98,600 98,600 Other 31,100 26,500 Total noncurrent liabilities 129,700 125,100 Total liabilities 279,100 240,800 Stockholders' equity Preferred stock (par value $10, 4% cumulative, nonparticipating; 8,000 shares authorized and issued) 80,000 80,000 Common stock (no par; 50,000 shares authorized; 10,000 shares issued) 80,000 80,000 Retained earnings 142,600 123,500 Total stockholders' equity 302,600 283,500 Total liabilities & stockholders equity $581,700 $524,300 %

Prepare a horizontal analysis of the income statement. (Negative answers should be indicated by a minus sign. Round your answers to 1 decimal place. (i.e., .234 should be entered as 23.4).)

ADAMS COMPANY Horizontal Analysis of Income Statements 2019 2018 Percentage Change Revenues Sales (net) $230,800 $211,000 % Other revenues 9,100 6,000 Total revenues 239,900 217,000 Expenses Cost of goods sold 118,100 102,000 Selling, general, and administrative expenses 54,300 50,000 Interest expense 7,200 6,400 Income tax expense 22,700 21,700 Total expenses 202,300 180,100 Net income (loss) $37,600 $36,900 %

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