The balance sheets for Federer Sports Apparel for 2022 and 2021 are presented below. Required:
Prepare a vertical analysis of the balance sheet data for 2022 and 2021. Express each amount as a percentage of total assets.
FEDERER SPORTS APPAREL
Balance Sheet
December 31
2022 2021
Amount % Amount %
Assets
Cash 2,756,500 896.000
Accounts receivable 1,720,500 1,232,000
Inventory 3,367,000 2,032,000
Buildings 13,024,000 13,024,000
Less: Accumulated depreciation (2,368,000) (1,184,000)
Total assets $ 18,500,000 $ 16,000,000
Liabilities and Stockholders' Equity
Accounts payable $ 1,591,000 $ 1,792,000
Contingent liability 1,850,000
Common stock 7,696,000 7,696,000
Retained earnings 7,363,000 6,512,000
Total liabilities and
stockholders' equity $ 18,500,000 $ 16,000,000

David consumes two things: gasoline (g) and bread (b). david's utility function is u(g, b) = 10g^0.25 b^0.75. use the lagrange technique to solve for david's optimal choices of gasoline and bread as a function of the price of gasoline, p_g, the price of bread, p_b, and his income m. with recent decrease in the price of gasoline (maybe due to external shock such as shale gas production) does david increase his consumption of gasoline? for david, how does partial differential g/partial differential p_g depend on his income m? that is, how does david's change in gasoline consumption due to an increase in the price of gasoline depend on his income level? to answer these questions, find the cross-partial derivative, |partial differential^2 g/partial differential m partial differential p_g.