Question

Use this balance sheet to do horizontal analysis of the Howard Company. 2019 2018 amount percent...

Use this balance sheet to do horizontal analysis of the Howard Company.

2019 2018 amount percent
Assets
Current Assets $13,000 $10,000
Plant Assets $44,000 $50,000
Total Assets $57,000 $60,000
Liabilities $11,000 $20,000
Stockholders' Equity $46,000 $40,000
Total Liabilities and Equity $57,000 $60,000

What is the percent increase or decrease for plant assets?

decrease of 13.6%

increase of 12%

decrease of 12%

increase of 13.6%

Homework Answers

Answer #1
Assets 2019 2018 Amount Percent Calculation
Current Assets 13,000 10,000 3,000 30 3000/10000*100
Plant Assets 44,000 50,000 -6,000 -12 -6000/50000*100
Total Assets 57,000 60,000 -3,000 -5 -3000/60000*100
Liabilities 11,000 20,000 -9,000 -45 -9000/20000*100
Stockholders' Equity 46,000 40,000 6,000 15 6000/40000*100
Total Liabilities and Equity 57,000 60,000 -3,000 -5 -3000/60000*100
Precent decrease in plant assets is 12%
So correct answer is decrease of 12%
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