Question

​Common-size financial statements.  The balance sheet information for two companies is in the popup​ window:   LOADING.... Complete the​ common-size balance sheet for these companies. Review each​ company's percentages of total assets. Are these companies operating with similar philosophies or in similar​ industries? What appears to be the major difference in financing for these two​ companies?

		% of				% of
	Balance	Total			Balance	Total
ASSETS	Co. 1	Assets		LIABILITIES	Co. 1	Assets
Current assets				Current liabilities
Cash	$5,365		%	Accounts payable	$12,281		%
Investments	$4,126		%	Short-term debt	$1,071		%
Accounts receivable	$8,028		%	Other short-term
Inventory	$5,380		%	liabilities	$0		%
Total current assets	$22,899		%	Total current liabilities	$13,352		%
Long-term investments	$80		%	Long-term debt	$2,918		%
Net plant, property				Other liabilities	$4,808		%
and equipment	$9,811		%	Total liabilities	$21,078		%
Goodwill	$5,246		%	OWNERS’ EQUITY
Intangible	$6,157		%	Common stock	$3,193		%
Other	$3,710		%	Treasury stock	$-6,789		%
				Retained earnings	$30,421		%
				Total owners’ equity	$26,825		%
				TOTAL LIABILITIES
TOTAL ASSETS	$47,903	100.00	%	AND OWNERS’ EQUITY	$47,903	100.00	%

Answer 1