In addition to common-size financial statements, common-base year financial statements

In addition to common-size common-base year are often used. Common-base year are constructed by dividing the current year account value by the base year account value. Thus, the result shows the growth rate in the account.

Prepare the common-size and common-base year for the company. Use 2014 as the base year. (Do not round intermediate calculations. Enter your common-size answers as a percent and your common-base year answers as a times. Round your common size answers to 2 decimal places, e.g., 32.16, and common-base year answers to 4 decimal places, e.g., 32.1616.)

JARROW Common-size 2015 Common-size Common-base year

Assets

Current assets

Cash $ 8,514 _____ % $10,454 ______% ________

21,453 _____% 23,937 ______% _________

Inventory 37,822 _____% 42,797 ______% _________

Total $ 67,789 _____ % $77,188 _____% __________

Fixed assets

Net plant and equipment $ 216,370 _____% $244,340 _____% _______

Total assets $ 284,159 _____% $321,528 _____% ________

Liabilities and Owners’ Equity

Current liabilities

$ 41,898 _____% $46,884 _____% _______

Notes payable 18,464 _____% 18,035 _____% _________

Total $ 60,362 ____% $64,919 ____% ________

Long-term debt $ 25,000 _____% $32,000 ____% ________

Owners’ equity

and paid-in surplus $ 39,000 ____% $40,200 _____% ________

Retained earnings 159,797 ____% 184,409 _____% ________

Total $ 198,797 ____% $224,609 _____% ________

Total liabilities and owners’ equity $ 284,159 _____% $321,528 ____% ________

 

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