Horizontal Analysis

JC Trading Company
State of the Financial Position
As of December 31
(Decrease
( in P thousands) Increase )
20D4 20D3 P %
Cash and Cash Equivalents ₱470.31 ₱519.86
Accounts Recievable, net 660.11 565.17
Inventory 653.06 555.48
Prepaid Expenses   173.74   228.82        
Total Current Assets 1,957.22 1,869.32
Property, Plant and Equipment, net 5,910.53 5,501.66
Intangible Assets   745.2   721.91        
Total Assets   ₱8,612.95   ₱8,092.89        

Current Liabilities ₱1,273.05 ₱1,123.70

Long - Term Liabilities   577.58   541.54        
Total Liabilities 1,850.63 1,665.24
JC, Capital   6,762.32   6,427.65        
Total Liabilities and
Owner'sEquity   ₱8,612.95   ₱8,092.89        

JC Trading Company
Statement of Comprehensive
Income
(Decrease
( in P thousands)
For the year ended Increase )
20D4 20D3 P %
Sales Revenue ₱5,385.86 ₱4,921.85
Costs of Goods Sold   1,374.79   1,254.86        
Gross Profit 4,011.07 3,666.99
Selling and Administrative
Expenses   3.406.46   3,127.15        
Operating Income 604.61 539.84
Interest Expense   11.82   23.04        
Net Income   ₱592.79   ₱516.80        

Solution
(Decrease
( in P thousands)
Increase )
20D4 20D3 P %
Cash and Cash Equivalents ₱470.31 ₱519.86 (₱49.55) -9.53%
Accounts Recievable, net 660.11 565.17 94.95 16.80%
Inventory 653.06 555.48 97.58 17.57%
-
Prepaid Expenses   173.74   228.81   (55.07) 24.07%  
Total Current Assets 1,957.22 1,869.32 87.89 4.70%
Property, Plant and Equipment, net 5,910.53 5,501.66 408.87 7.43%
Intangible Assets   745.20   721.91   23.30 3.23%  
Total Assets   ₱8,612.95   ₱8,092.89   ₱520.06 6.43%  

Current Liabilities ₱1,273.05 ₱1,123.70 ₱149.35 13.29%

Long - Term Liabilities   577.58   541.54   36.04 6.66%  
Total Liabilities 1,850.63 1,665.24 185.39 11.13%
JC, Capital   6,762.32   6,427.65   334.67 5.21%  
Total Liabilities and
Owner'sEquity   ₱8,612.95   ₱8,092.89   ₱520.06 6.43%  

(Decrease
( in P thousands) Increase )
20D4 20D3 P %
Sales Revenue ₱5,385.86 ₱4,921.85 ₱464.01 9.43%
Costs of Goods Sold   1,374.79   1,254.86   119.94 9.56%  
Gross Profit 4,011.07 3,666.99 344.09 9.38%
Selling and Administrative Expenses 3.406.46 3,127.15 279.31 8.93%
Operating Income 604.61 539.84 64.77 12.00%
-
Interest Expense   11.82   23.04   (11.22) 48.70%  
Net Income   ₱592.79   ₱516.80   ₱76.00 14.71%  

Vertical Analysis

JC Trading Company
State of the Financial Position
As of December 31
( in P thousands)
20D4 % 20D3 %
Cash and Cash Equivalents ₱470.31 ₱519.86
Accounts Recievable, net 660.11 565.17
Inventory 653.06 555.48
Prepaid Expenses   173.74       228.81    
Total Current Assets 1,957.22 1,869.32
Property, Plant and Equipment, net 5,910.53 5,501.66
Intangible Assets   745.20       721.91    
Total Assets   ₱8,612.95       ₱8,092.89    
Current Liabilities ₱1,273.05 ₱1,123.70
Long - Term Liabilities   577.58       541.54    
Total Liabilities 1,850.63 1,665.24
JC, Capital   6,762.32       6,427.65    
Total Liabilities and Owner's Equity ₱8,612.95       ₱8,092.89    

JC Trading Company
Statement of Comprehensive Income
For the year ended
( in P thousands)
20D4 % 20D3 %
Sales Revenue ₱5,385.86 ₱4,921.85
Costs of Goods Sold   1,374.79       1,254.86    
Gross Profit 4,011.07 3,666.99
Selling and Administrative Expenses 3,406.46       3,127.15    
Operating Income 604.61 539.84
Interest Expense   11.82       23.04    
Net Income   ₱592.79       ₱516.80    

Solution
( in P thousands)
20D4 % 20D3 %
Cash and Cash Equivalents ₱470.31 5.5 ₱519.86 6.4
Accounts Recievable, net 660.11 7.7 565.17 7.0
Inventory 653.06 7.6 555.48 6.9
Prepaid Expenses   173.74   2.0   228.82   2.8
Total Current Assets 1,957.22 22.7 1,869.32 23.1
Property, Plant and Equipment, net 600.51 68.6 560.66 68.0
Intangible Assets   745.20   8.7   721.91   8.9
Total Assets   ₱3,302.93   100   ₱3,151.89   100

Current Liabilities ₱1,273.05 14.8 ₱1,123.70 13.9

Long - Term Liabilities   577.58   6.7   541.54   6.7
Total Liabilities 1,850.63 21.5 1,665.24 20.6
JC, Capital   1,452.31   78.5   1,486.65   79.4
Total Liabilities and Owner's Equity ₱3,302.93   100   ₱3,151.89   100

( in P thousands)
20D4 % 20D3 %
Sales Revenue ₱5,385.86 100 ₱4,921.84 100
Costs of Goods Sold   1,374.79   25.5   1,254.86   25.5
Gross Profit 4,011.07 74.5 3,666.99 74.5
Selling and Administrative Expenses 3,406.46   63.2   3,127.15   63.5
Operating Income 604.61 11.2 539.83 11
Interest Expense   11.82   0.2   23.04   0.5
Net Income   ₱592.79   11   ₱516.80   10.5