Posted: February 8th, 2017

solve the problem. Express answers as a percent rounded to the nearest tenth

solve the problem. Express answers as a percent rounded to the nearest tenth.

Complete a vertical analysis on the balance sheet for Jake’s Janitorial Service for December 31 of last year. The company assets are cash $20,000, accounts receivable $48,000, merchandise inventory $89,000, and equipment $82,000. The liabilities are accounts payable $13,000, wages payable $16,000, and mortgage note payable ,000. The owner’s capital is $133,000.

Jake’s Janitorial Service Balance Sheet •Cash: 8.4%. •Accounts receivable: 20.1%. •Merchandise inventory: 37.2%. •Equipment: 34.3%. •Total assets: 100%. •Accounts payable: 12.3%. •Wages payable: 15.1%. •Mortgage note payable: 32.2%. •Total liabilities: 44.4%. •Jake’s capital: 55.6%. •Total liabilities and owner’s equity: 100%.

Jake’s Janitorial Service Balance Sheet •Cash: 8.4%. •Accounts receivable: 20.1%. •Merchandise inventory: 37.2%. •Equipment: 34.3%. •Total assets: 100%. •Accounts payable: 5.4%. •Wages payable: 6.7%. •Mortgage note payable: 72.6%. •Total liabilities: 44.4%. •Jake’s capital: 55.6%. •Total liabilities and owner’s equity: 100%.

Jake’s Janitorial Service Balance Sheet •Cash: 8.4%. •Accounts receivable: 20.1%. •Merchandise inventory: 37.2%. •Equipment: 34.3%. •Total assets: 100%. •Accounts payable: 12.3%. •Wages payable: 15.1%. •Mortgage note payable: 72.6%. •Total liabilities: 100%. •Jake’s capital: 55.6%. •Total liabilities and owner’s equity: 100%.

Jake’s Janitorial Service Balance Sheet •Cash: 8.4%. •Accounts receivable: 20.1%. •Merchandise inventory: 37.2%. •Equipment: 34.3%. •Total assets: 100%. •Accounts payable: 5.4%. •Wages payable: 6.7%. •Mortgage note payable: 32.2%. •Total liabilities: 44.4%. •Jake’s capital: 55.6%. •Total liabilities and owner’s equity: 100%.