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 $ 4,694,020 $ 4,799,650 $ 4,974,360 $ 5,458,780 $ 5,782,770 Cash $ 89,152 $ 92,693 $ 88,372 $ 75,358 $ 67,903 Accounts receivable, net 402,319 419,357 451,275 502,016 576,549 Inventory 817,956 875,183 819,432 895,103 915,811 Total current assets $ 1,309,427 $ 1,387,233 $ 1,359,079 $ 1,472,477 $ 1,560,263 Current liabilities $ 314,306 $ 345,180 $ 324,396 $ 336,158 $ 406,960 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