Question
The following is a summary of information presented on the financial statements of a company on...
The following is a summary of information presented on the financial statements of a company on December 31, 2019.
|
Account |
2019 |
2018 |
|
Current Assets |
$82,000 |
$$78,000 |
|
Accounts Receivable |
90,000 |
63,000 |
|
Merchandise Inventory |
64,000 |
60,000 |
|
Current Liabilities |
55,000 |
50,000 |
|
Long−term Liabilities |
42,000 |
53,000 |
|
Common Stock |
73,000 |
50,000 |
|
Retained Earnings |
66,000 |
48,000 |
With respect to long−term liabilities, a horizontal analysis reveals ___
A.long−term liabilities decreased by $5,000
B. long−term liabilities decreased by 20.75%
C.long−term liabilities decreased by 46%
D. long−term liabilities decreased by $ 23,000
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Answer #1
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