11 ALBERTA PLAYGROUND INC. Common-Size Comparative Income Statement Years ended March 31, 2023 and March 31,...

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11 ALBERTA PLAYGROUND INC. Common-Size Comparative Income Statement Years ended March 31, 2023 and March 31, 2022 Revenues Cost of sales and selling, general and administrative Depreciation and amortization expense Operating profit Interest on long-term debt Other expenses Profit before income taxes Income taxes Profit 2023 2022 (%) (%) 11 Alberta Playground Inc. produces, markets, distributes, and installs durable playground equipment. It is a new, growing playground distributor in Canada, and is hoping to expand to other provinces shortly. Its head office is in Edmonton, and its 2023 and 2022 balance sheets and income statements follow. Assets Alberta Playground Inc. Balance Sheet ($000) Years Ended March 31 2023 2022 Current assets Cash and cash equivalents 77,591 $ 54,919 Receivables 460,907 367,169 Inventories Non-strategic investment Other current assets 662,444 567,004 Prepaid expenses and other assets 50,970 29,524 27,763 20 32,953 28,272 Total current assets Portfolio investment $1,312,628 $1,046,908 0 41,343 Property, Plant, & Equipment Goodwill Trademarks and other intangibles Other assets 1,031,150 1,042,756 848,230 717,095 339,338 316,913 138,343 93,816 Total assets Liabilities Current liabilities Bank loans Accounts payable and accrued liabilities Income taxes payable Current portion of long-term debt Total current liabilities Non-Current Liabilities Long-term debt Other liabilities Total liabilities Equity Common shares Retained earnings Total equity Total liabilities and equity $3,669,689 $3,258,831 170,689 $ 61,672 573,929 198,738 28,219 471,256 149,477 8,659 $ 971,575 $ 691,064 378,680 189,083 380,990 153,469 $1,539,338 $1,225,523 $ 618,675 $ 585,749 1,511,676 1,447,559 $2,130,351 $2,033,308 $3,669,689 $3,258,831 11 Revenues Alberta Playground Inc. Income Statement ($000) Years Ended March 31 Cost of sales, selling and administrative expenses Depreciation and amortization expense Operating profit Interest on long-term debt Other expenses Earnings before income taxes Income taxes Profit 2023 2022 $6,035,470 $5,820,582 5,237,330 5,120,511 105,082 113,756 693,058 586,315 23,241 29,931 14,363 5,261 655,454 197,215 551,123 161,289 $ 458,239 $ 389,834 Assume the common shares represent 203,930 (thousand) shares issued and outstanding for the entire year ended March 31, 2023. Required: 1. Prepare a common-size balance sheet and income statement on a comparative basis for 2023 and 2022. (Round the final percentage answers to 2 decimal places. Negative answers should be indicated by a minus sign.) 11 ALBERTA PLAYGROUND INC. Common-Size Comparative Balance Sheet As at March 31, 2023 and March 31, 2022 Assets Current assets Cash and cash equivalents Receivables Inventories Prepaid expenses and other assets Non-strategic investment Other current assets Total current assets Portfolio investment Property, plant and equipment Goodwill Trademarks and other intangibles Other assets Total assets 2023 2022 (%) (%) 11 Liabilities Current liabilities Bank loans Accounts payable and accrued liabilities Income taxes payable Current portion of long-term debt Total current liabilities Non-current liabilities Long-term debt Other liabilities Total liabilities Equity Common shares Retained earnings Total equity Total liabilities and equity 11 ALBERTA PLAYGROUND INC. Common-Size Comparative Income Statement Years ended March 31, 2023 and March 31, 2022 Revenues Cost of sales and selling, general and administrative Depreciation and amortization expense Operating profit Interest on long-term debt Other expenses Profit before income taxes Income taxes Profit 2023 2022 (%) (%) 11 Alberta Playground Inc. produces, markets, distributes, and installs durable playground equipment. It is a new, growing playground distributor in Canada, and is hoping to expand to other provinces shortly. Its head office is in Edmonton, and its 2023 and 2022 balance sheets and income statements follow. Assets Alberta Playground Inc. Balance Sheet ($000) Years Ended March 31 2023 2022 Current assets Cash and cash equivalents 77,591 $ 54,919 Receivables 460,907 367,169 Inventories Non-strategic investment Other current assets 662,444 567,004 Prepaid expenses and other assets 50,970 29,524 27,763 20 32,953 28,272 Total current assets Portfolio investment $1,312,628 $1,046,908 0 41,343 Property, Plant, & Equipment Goodwill Trademarks and other intangibles Other assets 1,031,150 1,042,756 848,230 717,095 339,338 316,913 138,343 93,816 Total assets Liabilities Current liabilities Bank loans Accounts payable and accrued liabilities Income taxes payable Current portion of long-term debt Total current liabilities Non-Current Liabilities Long-term debt Other liabilities Total liabilities Equity Common shares Retained earnings Total equity Total liabilities and equity $3,669,689 $3,258,831 170,689 $ 61,672 573,929 198,738 28,219 471,256 149,477 8,659 $ 971,575 $ 691,064 378,680 189,083 380,990 153,469 $1,539,338 $1,225,523 $ 618,675 $ 585,749 1,511,676 1,447,559 $2,130,351 $2,033,308 $3,669,689 $3,258,831 11 Revenues Alberta Playground Inc. Income Statement ($000) Years Ended March 31 Cost of sales, selling and administrative expenses Depreciation and amortization expense Operating profit Interest on long-term debt Other expenses Earnings before income taxes Income taxes Profit 2023 2022 $6,035,470 $5,820,582 5,237,330 5,120,511 105,082 113,756 693,058 586,315 23,241 29,931 14,363 5,261 655,454 197,215 551,123 161,289 $ 458,239 $ 389,834 Assume the common shares represent 203,930 (thousand) shares issued and outstanding for the entire year ended March 31, 2023. Required: 1. Prepare a common-size balance sheet and income statement on a comparative basis for 2023 and 2022. (Round the final percentage answers to 2 decimal places. Negative answers should be indicated by a minus sign.) 11 ALBERTA PLAYGROUND INC. Common-Size Comparative Balance Sheet As at March 31, 2023 and March 31, 2022 Assets Current assets Cash and cash equivalents Receivables Inventories Prepaid expenses and other assets Non-strategic investment Other current assets Total current assets Portfolio investment Property, plant and equipment Goodwill Trademarks and other intangibles Other assets Total assets 2023 2022 (%) (%) 11 Liabilities Current liabilities Bank loans Accounts payable and accrued liabilities Income taxes payable Current portion of long-term debt Total current liabilities Non-current liabilities Long-term debt Other liabilities Total liabilities Equity Common shares Retained earnings Total equity Total liabilities and equity