Question

Rotorua Products, Ltd., of New Zealand markets agricultural products for the burgeoning Asian consumer market. The company’s current assets, current liabilities, and sales over the last five years (Year 5 is the most recent year) are as follows:

	Year 1			Year 2			Year 3			Year 4			Year 5
Sales	$	4,510,820		$	4,788,160		$	5,002,310		$	5,458,140		$	5,676,770
Cash	$	85,028		$	90,035		$	97,460		$	74,501		$	70,658
Accounts receivable, net		414,385			425,263			442,992			501,628			563,952
Inventory		806,146			869,045			823,839			885,735			902,230
Total current assets	$	1,305,559		$	1,384,343		$	1,364,291		$	1,461,864		$	1,536,840
Current liabilities	$	319,064		$	331,037		$	329,045		$	333,405		$	391,666

Required:

1. Express all of the asset, liability, and sales data in trend percentages. Use Year 1 as the base year. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).)

Answer 1