Perform a Vertical Analysis for the Balance Sheet Entry "Accounts

question 28

Multiple Choice

Perform a vertical analysis for the balance sheet entry "Accounts Receivable" given below. (Round to the nearest tenth) $$\begin{array} { | l l | } \hline \text { Assets } & \\\hline \text { Current Assets } & \$ 13,000 \\\text { Cash } & 26,000 \\\text { Accounts Receivables } & 40,000 \\\text { Merchandise Inventory } & 2,000 \\\text { Supplies } & 81,000 \\\text { Total Current Assets } & \\\text { Property, Plant, and Equipment } & 13,000 \\\text { Machinery and Equipment } & \$ 94,000 \\ \text { Total Assets } &\end{array}$$

• A) 42.6%
• B) 13.8%
• C) 37.7%
• D) 27.7%

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Definitions:

Anxiety Disorder

A disorder in which anxiety is a central symptom.

U.S. Adults

Individuals residing in the United States who are legally considered adults, typically over the age of 18.

6 Percent

A quantitative value or measurement, often referred to in statistical, financial, or performance contexts, indicating a portion out of a hundred.

34 Percent

A numerical value representing a fraction, more than one-third, of a whole in a quantitative context, such as statistical data.