Consolidated balance sheets for Peach Computer appear below:

Required:
1. Prepare common size balance sheets for horizontal analysis.
2. Indicate from what sources Peach appears to have secured the resources for its assetincrease.

Transcribed Image Text:

Peach Computer, Inc. Consolidated Balance Sheets December 31, 2009 and 2008 Dollars in thousands) ASSETS 2009 2008 Current assets: Cash and cash equivalents Short-term investments Accounts receivable, net of allowance for doubtful $1,203,488 $ 676,413 215,890 54,368 accounts of $90,992 ($83,776 in 2008) Inventories Deferred tax assets Other current assets 1,581,347 1,381,946 1,088,434 1,506,638 268,085 289,383 293,048 255,767 Total current assets 34476.452 $4,338.355 Property, plant, and equipment: Land and buildings Machinery and equipment Office furniture and equipment S484,592 404,688 572,728 578,272 167,905 158,160 2009 ASSETS 2008 261,792 $1,452,188 $1,412,657 (785,088) (753,111) $ 667,100 $659,546 $ 159,194 173,511 $5,302,746 $5,171,412 Leasehold improvements 236,708 Accumulated depreciation and am ortization Net property, plant, and equipment Other assets Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Short-term borrowings Accounts payable Accrued compensation and employee benefits Accrued marketing and distribution Accrued restructuring costs Other current liabilities 292,200 823,182 742,622 144,779 174,547 58,238 307,932 315,023 $1,944,305 $2,508,085 881,717 136,895 178,294 396,961 Total current liabilities 304,472 670,668 Long-term debt Deferred tax liabilities Total liabilities Shareholders' equity: 629,832 $2,919,445 $3,145,034 Common stock, no par value: 320,000,000 shares authorized; 119,542,527 shares issued and outstanding in 2009 (116,147,035 shares in 2008) $ 297,929 203,613 2,096,206 1,842,600 (19,835) $2,383,301 $2,026,378 $5,302,746 $5,171,412 Retained earnings Accumulated translation adjustment (10,834) Total shareholders' equity Total liabilities and shareholders' equity