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"Bethesda Mining Company reports the following balance sheet information for 2018 and 2019. Prepare the 2018 and 2019 common-size balance sheets for Bethesda Mining.
"Bethesda Mining Company reports the following balance sheet information for 2018 and 2019. Prepare the 2018 and 2019 common-size balance sheets for Bethesda Mining. BETHESDA MINING COMPANY
Balance Sheets as of December 31, 2018 and 2019
2018 2019
Assets
Current assets
Cash $ 58,042 % $ 73,306
Accounts receivable 63,781 % 84,139
Inventory 120,205 % 185,490
Total $ 242,028 % $ 342,935
Fixed assets
Net plant and equipment $ 658,447 % $ 589,828
Total assets $ 900,475 % $ 932,7631
Liabilities and Owners' Equity
Current liabilities
Accounts payable $ 188,422 % $ 196, 111
Notes payable 83,5201 % 135,088
Total $ 271,942 % $ 331,199
Long-term debt $ 234,000 % $ 170,750
Owners' equity Common stock and $ 221,000 % $ 221,000
paid-in
surplus Accumulated retained 173,533 % 209,814
earnings
Total $ 394,533 % $ 430,814
Total liabilities and owners equity' $ 900,475 % $ 932,763"
Final answer:The common-size balance sheets forBethesda Mining Companyfor the years 2018 and 2019 show the percentage of each item relative to total assets. In 2018, cash accounted for 23.96% of total assets, accounts receivable accounted for 26.37%, inventory accounted for 49.67%, net plant and equipment accounted for 73.11%, accounts payable accounted for 69.26%, notes payable accounted for 30.67%,Explanation:To prepare thecommon-size balance sheetsforBethesda Mining Companyfor the years2018and2019, we need to calculate thepercentageof each item relative to totalassets.2018 Common-Size Balance Sheet:Cash: $58,042 / $242,028 = 23.96%Accounts receivable: $63,781 / $242,028 = 26.37%Inventory: $120,205 / $242,028 = 49.67%Net plant and equipment: $658,447 / $900,475 = 73.11%Accounts payable: $188,422 / $271,942 = 69.26%Notes payable: $83,520 / $271,942 = 30.67%Long-term debt: $234,000 / $900,475 = 25.99%Common stock and paid-in surplus: $221,000 / $394,533 = 55.99%Accumulated retained earnings: $173,533 / $394,533 = 43.98%2019 Common-Size Balance Sheet:Cash: $73,306 / $342,935 = 21.38%Accounts receivable: $84,139 / $342,935 = 24.54%Inventory: $185,490 / $342,935 = 54.07%Net plant and equipment: $589,828 / $932,763 = 63.20%Accounts payable: $196,111 / $331,199 = 59.20%Notes payable: $135,088 / $331,199 = 40.80%Long-term debt: $170,750 / $932,763 = 18.30%Common stock and paid-in surplus: $221,000 / $430,814 = 51.26%Accumulated retained earnings: $209,814 / $430,814 = 48.74%Learn more aboutcommon-size balance sheets for bethesda mining companyhere:brainly.com/question/20720555#SPJ14...