The consolidated 2009 and 2008 balance sheets for Cola, Inc., and Subsidiaries appear below. Required: 1. Calculate
Question:
Required:
1. Calculate the percentage that Colas total assets increased by during 2009.
2. Determine whether any of the asset categories experienced larger increases than others.
3. Indicate where Cola acquired the capital to finance its asset growth.
4. Indicate whether any of the individual liability or equity items increased at a rate different from the rate at which total liabilities and equityincreased.
Cola, Inc., and Subsidiaries Consolidated Balance Sheet (In millions except per share amounts) December 31, ASSETS 2009 2008 Current assets: Cash and cash equivalents Short-term investments at cost which approximates $ 226.9 $ 169.9 1,629.3 1,883.4 1,888.5 1,588.5 market Accounts and notes receivable, less allowance $128.3 in 2009 and $112.0 in 2008 924.7 499.8 Inventories 768.8 426.6 S 4,842.3 1,707.9 7 442.0 6,959.0 Prepaid expenses, taxes, and other current assets Total current assets Investments in affiliates and other assets Property, plant, and equipment, net Intangible assets, net Total assets 1,756.6 8,855.6 7,929.5 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Short-term borrowings Accounts payable Income taxes payable Accrued compensation and benefits Accrued marketing Other current liabilities 2,191.2 1,390.0 823.7 726.0 400.9 1,043.1 $6,574.9 7 442.6 1,342.0 2,007.6 $17,367.1 $ 706.8 1,164.8 621.1 638.9 327.0 1.099.0 4,557.6 7,964.8 1,390.8 1,682.3 Total current liabilities Long-term debt Other liabilities Deferred income taxes Total liabilities Shareholders' equity: Capital stock, par value per share: authorized 1,800.0 shares, issued 863.1 shares Capital in excess of par value Retained earnings Currency translation adjustment and other Less: Treasury stock, at cost: 64.3 shares 14.4 879.5 6,541.9 183.9) 14.4 667.6 5,439.7 (99.0) 913.2) 6,338.7 $23,705.8 (667.0) 5,355.7 $20,951.2 in 2009 and 2008 Total shareholders' equity Total liabilities and shareholders' equity
Step by Step Answer:
1 Total assets increased by 131 2370580 20951202095120 2 Asset Category Percent Change Total current ...View the full answer
Cornerstones of Financial and Managerial Accounting
ISBN: 978-0324787351
1st Edition
Authors: Rich Jones, Mowen, Hansen, Heitger
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