From the Following Balance Sheet for Bricks Corporation,compute the Common-Size

question 2

Essay

From the following balance sheet for Bricks Corporation,compute the common-size balance sheet amounts.(Round all percentages to nearest tenth of a percent.)
$$\begin{array} { l r l } & \text { Amount } & \text { Percent } \\\text { Current Assets } & \$ 40,000 & ---- \\\text { Plant and Equipment } & \underline { 360,000 } & ---- \\\text { Total Assets } & \underline { \underline { 400,000 } } & ---- \\& & \\\text { Current Liabilities } &\$ 100,000 & ---- \\\text { Long-term Liabilities } &180,000 & ---- \\\text { Common Stock } & 80,000 & ----\\\text { Retained Earnings } &\underline { 40,000 } &---- \\\text { Total Liabilities and } & & \\\text { Stockholders' Equity } &\underline { \$ 400,000 }&----\end{array}$$

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Definitions:

Business Entity

An organization that engages in economic activities, recognized as a separate legal entity from its owners.

Less than Six Months

A term used to describe a period or duration that does not exceed six months.

More than One Year

Refers to a time frame in accounting and finance that indicates durations or periods extending beyond a twelve-month or one-year period.

Transaction Analysis

The process of studying a transaction to determine its economic effect on the business in terms of the accounting equation.