Question

Compute the annual dollar changes and percent changes for each of the following accounts. (Decreases should be indicated with a minus sign. Round percent change to one decimal place.) 2017 2016 Short-term investments $ 375,911 $ 235,231 Accounts receivable 99,129 102,691 Notes payable 0 89,640

Answer 1

Answer:

Annual Dollar Changes for Short-term investments, Accounts receivable , and Notes payable is $140,680, -$3,562, - $89,640 respectively.

Percentage change for Short-term investments, Accounts receivable , and Notes payable is 59.8%, -3.4%, -100.0% respectively.

Explanation:

Annual dollar Changes : It shows the difference between the current year value and previous year value.

In mathematically,

Annual dollar Changes = Current year value - Previous year value

So,

For short term investments =  $375,911 - $235,231 = $140,680

For Accounts receivable = $99,129 - $102,691 = - $3,562

For Notes payable = $0 - $89,640 = - $89,640

Now,

Percentage change : It shows a relationship between dollar change and previous year value

In mathematically,

Percentage change = (dollar change ÷ previous year value) × 100

So,

For short term investments = ($140,680 ÷ $235,231) × 100 = 59.8%

For Accounts receivable = (- $3,562 ÷ $102,691) × 100 = -3.4%

For Notes payable = (- $89,640 ÷ $89,640 ) × 100 = -100.0%

Hence,

Annual Dollar Changes for Short-term investments, Accounts receivable , and Notes payable is $140,680, -$3,562, - $89,640 respectively.

Percentage change for Short-term investments, Accounts receivable , and Notes payable is 59.8%, -3.4%, -100.0% respectively.