LOPEZ, ELLA MARIE P.

FIN191
QUIZ #2

HORIZONTAL ANALYSIS

Tren Corporation
Comparative Statements of Financial Position
December 31, 2019

Increased (Decreased)
Assets 2019 2018 Amount Percent
Current Assets
Cash & Cash Equivalent 24,890 2,120 22,770 1,074.06
Trade % Other Receivables 16,000 6,000 10,000 166.67
Inventory 8,960 10,600 (1,640) (15.47)
Hold for Trading 10,000 0 10,000 0
Total Current Assets 59,850 18,720 41,130 219.71

Increased (Decreased)
Assets 2019 2018 Amount Percent
Non-current Assets
Property, Plant and Equipment 150,000 161,280 (11,280) (6.99)

Investment in Equity 16,200 20,000 (3,800) (19)

Securities
Total Non-current Assets 166,000 181,280 (15,280) (8.43)
TOTAL ASSETS 225,850 200,000 25,850 12.93

Increased (Decreased)
Liabilities and Shareholders’ 2019 2018 Amount Percent
 Equity
Current Liabilities
Trade & Other Payables 8,400 3,350 5,050 150.75
Unearned Revenue 10,600 11,650 (1,050) (9.01)
Notes Payable -current 900 600 300 50
Total Current Liability 19,900 15,600 4,300 27.56

Increased (Decreased)
Liabilities and Shareholders’ 2019 2018 Amount Percent
Equity
Non-current Liabilities
Notes Payable -non current 73,550 100,000 (26,450) (26.45)
TOTAL LIABILITIES 93,450 115,600 (22,150) (19.16)

Increased (Decreased)
Shareholders’ Equity 2019 2018 Amount Percent
Ordinary Shares P100 par 80,000 60,000 20,000 33.33
Premium on Ordinary Shares 16,000 10,000 6,000 60
Total paid in capital 96,000 70,000 26,000 37.14
Retained Earnings 36,400 14,400 22,000 152.78
Total Shareholders’ Equity 132,400 84,400 48,000 56.87
TOTAL LIABILITIES & 225,850 200,000 25,850 12.93
SHAREHOLDERS’
EQUITY

VERTICAL ANALYSIS

Tren Corporation
 Comparative Statements of Financial Position
December 31, 2019

PERCENTAGES
Assets 2019 2018 2019 2018
Current Assets
Cash & Cash Equivalent 24,890 2,120 11.02 1.06
Trade % Other Receivables 16,000 6,000 7.08 3.00
Inventory 8,960 10,600 3.97 5.30
Hold for Trading 10,000 0 4.43 0
Total Current Assets 59,850 18,720 26.50 9.36

PERCENTAGES
Assets 2019 2018 2019 2018
Non-current Assets
Property, Plant and Equipment 150,000 161,280 66.41 80.64

Investment in Equity 16,200 20,000 7.17 10

Securities
Total Non-current Assets 166,000 181,280 73.50 90.64
TOTAL ASSETS 225,850 200,000 100.00 100.00

PERCENTAGES
Liabilities and Shareholders’ 2019 2018 2019 2018
Equity
Current Liabilities
Trade & Other Payables 8,400 3,350 3.72 1.68
Unearned Revenue 10,600 11,650 4.69 5.83
Notes Payable -current 900 600 0.40 0.30
Total Current Liability 19,900 15,600 8.81 7.80
PERCENTAGES
Liabilities and Shareholders’ 2019 2018 2019 2018
Equity
Non-current Liabilities
Notes Payable -non current 73,550 100,000 32.57 50
TOTAL LIABILITIES 93,450 115,600 41.38 57.80
 PERCENTAGES
Shareholders’ Equity 2019 2018 2019 2018
Ordinary Shares P100 par 80,000 60,000 35.42 30.00
Premium on Ordinary Shares 16,000 10,000 7.08 5.00
Total paid in capital 96,000 70,000 42.51 35.00
Retained Earnings 36,400 14,400 16.12 7.20
Total Shareholders’ Equity 132,400 84,400 58.62 42.20
TOTAL LIABILITIES & 225,850 200,000 100.00 100.00
SHAREHOLDERS’
EQUITY

In above analysis, 2018 is the base year and 2019 is the comparison year.
All items on the balance sheet and income statement for the year 2019 have been
compared with the items of balance sheet and income statement for the year 2018.
The actual changes in items are compared with the expected changes.