Here are comparative statement data for Blue Company and Gray Company, two competitors. All balance sheet data

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Here are comparative statement data for Blue Company and Gray Company, two competitors. All balance sheet data are as of December 31, 2010, and December 31, 2009.


Here are comparative statement data for Blue Company and Gray


Instructions
(a) Prepare a vertical analysis of the 2010 income statement data for Blue Company and Gray Company.
(b) Comment on the relative profitability of the companies by computing the 2010 return on assets and the return on common stockholders' equity ratios for both companies.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
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Financial Accounting Tools for Business Decision Making

ISBN: 978-0470239803

5th Edition

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

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