Need answer to problem 16-46 , Horizontal Analysis problem.

Under required 1 and 2.

1. Compute all percentages to one decimal place.

2 comment on significant trends.

Need to use information on balance sheet and income statement. To answers 1 and 2.

Use the following information for Problems through 16-50 in the Mike Sanders is considering the of a firm specializing manufacture of purchase Kepler Company. Mike has been office suppli be capabilities of company, given the company's financial statements for the recent years. Kepler Company Comparative Balance Sheets Last Year This Year Current assets: 50,000 Accounts receivable, net Inventory 600,000 Prepaid expenses 25,000 Total current assets $680,000 975,000 Property and equipment, net 25.000 Total assets S830,000 Liabilities and Stockholders' Equity current liabilities: $290,000 Accounts payable 400,000 Short-term notes payable 200.000 $350,000 S 600,000 Total current liabilities Long-term bonds payable, 12% 100.000 $500,000 S 700,000 Total liabilities Stockholders' equity: 200.000 Common stock (00,000 shares) Retained earnings $830,000 Total liabilities and stockholders' equity Kepler Ctompany Comparative Income Statements Last Year This Year 900,000 950,000 500,000) (490,000) Less: Cost of goods sold 410,000 S 450,000 Gross margin expenses Less: Selling and administrative (275.000) S 175,000 S 150,000 Operating income (Continued)