Vertical Analysis of Balance Sheet Balance sheet data for Ha

Vertical Analysis of Balance Sheet

Balance sheet data for Hanes Company on December 31, the end of the fiscal year, are shown below.

Prepare a comparative balance sheet for 2014 and 2013, stating each asset as a percent of total assets and each liability and stockholders\' equity item as a percent of the total liabilities and stockholders\' equity. If required, round percentages to one decimal place.

Hanes Company

Comparative Balance Sheet

December 31, 2014 and 2013

2014 Amount

2014 Percent

2013 Amount

2013 Percent

Current assets

$ 306,560

  %

$ 179,750

  %

Property, plant, and equipment

517,320

  %

460,160

  %

Intangible assets

134,120

  %

79,090

  %

Total assets

$ 958,000

  %

$ 719,000

  %

Current liabilities

$ 220,340

  %

$ 129,420

  %

Long-term liabilities

354,460

  %

301,980

  %

Common stock

105,380

  %

93,470

  %

Retained earnings

277,820

  %

194,130

  %

Total liabilities and stockholders\' equity

$ 958,000

  %

$ 719,000

  %

	2014	2013
Current assets	$306,560		$179,750
Property, plant, and equipment	517,320		460,160
Intangible assets	134,120		79,090
Current liabilities	220,340		129,420
Long-term liabilities	354,460		301,980
Common stock	105,380		93,470
Retained earnings	277,820		194,130

Solution

Prepare vertical analysis :

	2014 AMount	2014 percent	2013 Amount	2013 Percent
Current assets	306560	32%	179750	25%
Property, plant, and equipment	517320	54%	460160	64%
Intangible assets	134120	14%	79090	11%
Total assets	958000	100%	719000	100%
Current Liabilities	220340	23%	129420	18%
Long term liabilities	354460	37%	301980	42%
Common stock	105380	11%	93470	13%
Retained earnings	277820	29%	194130	27%
Total liabilities and stockholders\' equity	958000	100%	719000	100%