Express the Following Balance Sheets for Safety Company in Common-Size

question 242

Essay

Express the following balance sheets for Safety Company in common-size percentages.
$\begin{array}{c} \text {Safety Company}\\ \text {Balance Sheets}\\ \text {December 31,2017 and 2016}\\\begin{array}{|l|r|r|}\hline&2017&2016\\\hline \text { Assets } & & \\\hline \text { Cash } & \$ 43,000 & \$ 22,000 \\\hline \text { Accounts receivable } & 38,000 & 42,000 \\\hline \text { Merchandise inventory } & 61,000 & 52,000 \\\hline \text { Prepaid insurance } & 6,000 & 9,000 \\\hline \text { Long-term investments } & 49,000 & 20,000 \\\hline \text { Plant assets (net) } & 218,000 & 218,000 \\\hline \text { Total assets } & \$ 415,000 & \$ 363,000 \\\hline\\\hline \text { Liabilities and Equity } & & \\\hline \text { Current liabilities } & \$ 62,000 & \$ \quad 75,000 \\\hline \text { Long-term liabilities } & 45,000 & 36,000 \\\hline \text { Common stock } & 150,000 & 150,000 \\\hline \text { Retained earnings } & 158,000 & 102,000 \\\hline \text { Total liabilities and equity } & \$ 415,000 & \$ 363,000 \\\hline \end{array}\end{array}$

Understand the eligibility for unemployment compensation following a discharge.

Identify the roles of management and HR during legal proceedings related to employment termination.

Recognize the procedures for the recovery of organizational property upon employee termination.

Understand the legal frameworks and Acts that protect employee rights and privacy in the workplace.

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Definitions:

Annual Cash Flow

The total amount of money being transferred into and out of a business, measured yearly.

Initial Cost

The acquisition cost of an asset or investment, which might include the purchase price and any other expenses necessary to get the asset ready for use.

Profitability Index

A financial tool used to measure the relative profitability of an investment project, calculated as the present value of future cash flows divided by the initial investment.

Required Rate

The Required Rate, often known as the required rate of return, is the minimum annual percentage earned by an investment that will induce individuals or companies to put money into a particular project or investment.