The comparative balance sheet of Nathan Company appears below: NATHAN COMPANY Comparative Balance Sheet December 31, Assets 2017 2016 Current assets $ 420 $ 333 Plant assets 780 567 Total assets $ 1 , 200 690 Liabilities and stockholders’ equity Current liabilities $ 168 $ 144 Long-term debt 300 162 Common stock 432 306 Retained earnings 300 288 Total liabilities and stockholders’ equity $ 1 , 200 $ 900 \begin{array}{c} ext { NATHAN COMPANY}\ ext { Comparative Balance Sheet}\ ext { December 31,}\\\begin{array}{lcc} ext { Assets } & 2017 & 2016 \ ext { Current assets } & \$ 420 & \$ 333 \ ext { Plant assets } & 780 & 567 \ ext { Total assets } & \$ 1,200 & 690 \\ ext {Liabilities and stockholders ' equity}\ ext {Current liabilities} & \$168 & \$144\ ext {Long-term debt} & 300 & 162\ ext {Common stock} & 432 & 306\ ext {Retained earnings} & 300 & 288\ ext {Total liabilities and stockholders ' equity} & \$1,200 & \$900\end{array}\end{array} NATHAN COMPANY Comparative Balance Sheet December 31, Assets Current assets Plant assets Total assets Liabilities and stockholders’ equity Current liabilities Long-term debt Common stock Retained earnings Total liabilities and stockholders’ equity 2017 $420 780 $1 , 200 $168 300 432 300 $1 , 200 2016 $333 567 690 $144 162 306 288 $900 Instructions(a) Using horizontal analysis show the percentage change for each balance sheet item using 2016 as a base year.(b) Using vertical analysis prepare a common size comparative balance sheet.

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The comparative balance sheet of Nathan Company appears below:    NATHAN COMPANY  Comparative Balance Sheet  December 31,  Assets  2017 2016  Current assets  $ 420 $ 333  Plant assets  780 567  Total assets  $ 1 , 200 690 Liabilities and stockholders’ equity Current liabilities $ 168 $ 144 Long-term debt 300 162 Common stock 432 306 Retained earnings 300 288 Total liabilities and stockholders’ equity $ 1 , 200 $ 900 \begin{array}{c}	ext { NATHAN COMPANY}\	ext {  Comparative Balance Sheet}\	ext {  December 31,}\\\begin{array}{lcc} 	ext { Assets }  &  2017  &  2016 \ 	ext { Current assets }  &  \$ 420  &  \$ 333 \ 	ext { Plant assets }  &  780  &  567 \	ext { Total assets }  &  \$ 1,200  &  690 \\	ext {Liabilities and stockholders '  equity}\	ext {Current liabilities} & \$168 & \$144\	ext {Long-term debt} & 300 & 162\	ext {Common stock} & 432 & 306\	ext {Retained earnings} & 300 & 288\	ext {Total liabilities and stockholders '  equity} & \$1,200 & \$900\end{array}\end{array}  NATHAN COMPANY  Comparative Balance Sheet  December 31,  Assets   Current assets   Plant assets   Total assets  Liabilities and stockholders’ equity Current liabilities Long-term debt Common stock Retained earnings Total liabilities and stockholders’ equity ​ 2017 $420 780 $1 , 200 $168 300 432 300 $1 , 200 ​ 2016 $333 567 690 $144 162 306 288 $900 ​ ​   Instructions(a) Using horizontal analysis show the percentage change for each balance sheet item using 2016 as a base year.(b) Using vertical analysis prepare a common size comparative balance sheet.

Victoria Donofrio · Accepted Answer

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