Chapter 9 Materiality and Risk - HCC Learning Web

9-36 (continued)Stanton EnterprisesWorksheet 9-36BAnalysis of Financial Statementsand Audit Planning Worksheet12/31/2009BALANCE SHEETPreliminary12/31/09 %Audited12/31/08 %%ChangeCash $243,689 1.4 $133,981 1.1 81.9Trade accounts receivable 3,544,009 19.7 2,224,921 17.7 59.3Allowance for uncollectible accounts (120,000) -0.7 (215,000) -1.7 -44.2Inventories 4,520,902 25.1 3,888,400 31.0 16.3Prepaid expenses 29,500 0.2 24,700 0.2 19.4Total current assets 8,218,100 45.7 6,057,002 48.3 35.7Property, plant and equipment:At cost 12,945,255 72.0 9,922,534 79.1 30.5Less, accumulated depreciation (4,382,990) -24.4 (3,775,911) -30.1 16.18,562,265 47.6 6,146,623 49.0 39.3Goodwill 1,200,000 6.7 345,000 2.7 247.8$17,980,365 100.0 $12,548,625 100.0 43.3Accounts payable $2,141,552 11.9 $2,526,789 20.1 -15.2Bank loan payable 150,000 0.8 0 0.0 --Accrued liabilities 723,600 4.0 598,020 4.8 21.0Federal income taxes payable 1,200,000 6.7 1,759,000 14.0 -31.8Current portion of long-term debt 240,000 1.3 240,000 1.9 0.0Total current liabilities 4,455,152 24.8 5,123,809 40.8 -13.0Long-term debt 960,000 5.3 1,200,000 9.6 -20.0Stockholder's equity:Common stock 1,250,000 7.0 1,000,000 8.0 25.0Additional paid-in capital 2,469,921 13.7 1,333,801 10.6 85.2Retained earnings 8,845,292 49.2 3,891,015 31.0 127.312,565,213 69.9 6,224,816 49.6 101.9$17,980,365 100.0 $12,548,625 100.0 43.39-20