Selected comparative financial statement information of Danno Corporation follows.

Required
1. Compute each year€™s current ratio. (Round ratio amounts to one decimal.)
2. Express the income statement data in common-size percents. (Round percents to two decimals.)
3. Express the balance sheet data in trend percents with 2008 as the base year. (Round percents to two decimals.)
Analysis Component
4. Comment on any significant relations revealed by the ratios and percentscomputed.

Transcribed Image Text:

DANNO CORPORATION Comparative Income Statements For Years Ended December 31, 2010, 2009, and 2008 2010 2009 2000 Sales $392,000 $300,304 $208,400 --. Cost of goods sold235,984 190,092 33.376 Gross profit ...156,016 0212 75,024 Selling expenses.. Administrative expenses Total expenses Income before taxes65,072 42,343 30,218 35,280 0 90,944 - 26,449- 44.806 26.427 17,297 67.869 12,103 8.680 6,134 Net Income . . 52,969 33.663 24.084 DANNO CORPORATION Comparative Balance Sheets December 31, 2010, 2009, and 2008 2010 2000 Assets Long-term Investments Plant assets, net . . 400 106.303 4,110 64,382 Liabilities and Equity Common stock .. 70,000 8,750 Other pald-In capltal Retalned earnings. 8,750 5,778 52,465 48,217 44,200 $153,647 $149,197 $123,610 Total llablities and equity