How do you compute the component percentages for the balance

How do you compute the component percentages for the balance sheet?

The comparative financial statements for Prince Company are below: Year 2 Year 1 Income statement: Sales revenue Cost of goods sold Gross profit Operating expenses and interest expense Pretax income Income tax Net income Balance sheet: Cash Accounts receivable (net) Inventory Property and equipment (net) Total assets Current liabilities (no interest) Long-term liabilities (10% interest) Common stock ($5 par value, 6,000 shares outstanding) Retained earnings Total liabilities and stockholders\' equity $190,000 112,000 78,000 56,000 $ 167,000 100,000 67,000 53,000 14,000 4,000 $ 10,000 8,000 $ 14,000 $ 4,000 14,000 40,000 45,000 $ 7,000 18,000 34,000 38,000 $ 16,000 45,000 30,000 2,000 $ 103,000 $ 17000 45,000 30,000 5,000 $ 97000

Solution

Prince Company Balance Sheet At December 31, Year2 Amount Component Percentage Year-2 Cash $4,000 3.88% Account Receivable( Net) $14,000 13.59% Inventory $40,000 38.83% Property & Equipment $45,000 43.69% Total Asset ( the Base Amount) $103,000 100.00% Current Liabilities $16,000 15.53% Long term Liabilities ( 10% Interest) $45,000 43.69% Common Stock ($5 par Value, 6000 Share Outstanding) $30,000 29.13% Retained Earning $12,000 11.65% Total liabilities and Owner \'s Equity ( The Base Amount) $103,000 100.00%