From the information about Valerius Corporation in Figures 22.10 and 22.11, do the following:

Comparative Income Statement for Valerius Corporation

Comparative Balance Sheet for Valerius Corporation

1. For each year calculate its current ratio and acid test ratio.

2. For each year prepare the income statement in common-size percentages. (Round to the nearest tenth of a percent.)

3. Prepare a trend analysis of the balance sheet using 2018 as the base year. (Round to the nearest percent.)

Transcribed Image Text:

VALERIUS CORPORATION COMPARATIVE INCOME STATEMENT FOR YEARS ENDED DECEMBER 31, 2020, 2019, 2018 2020 2019 2018 Net Sales $ 45 000 00 $ 50 00000 $ 25 0 0000 2000000 $ 25|000100|| $ 304 0 0100| $ 6|0 이0001 Cost of Goods Sold 19 60000 19 00000 Gross Profit from Sales Operating Expenses: $ 350000 $ 15 0 0 00 $ 300000 100000 Selling General and Administrative 350000 250000 $ 기000100| $ 250000|| $ 5|500001 $ 18000 00 $ 27 900 00 $ 50000 20000 $ 1730000 $ 27 70000 $ 20000 Total Operating Expenses Operating Income Before Taxes Income Taxes |기00100 30000 Net Income