Empire Moving Company reported the following amounts on its balance sheet as of December 31, 2016 and December 31, 2017
2017 2016
Cash and Receivables $105,000 $85,000
Merchandise Inventory 135,000 180,000
Property, Plant and Equipment, net 770,000 790,000
Total Assets $1,010,000 $1,055,000
Total Liabilities $435,000 $445,000
For the vertical analysis, what is the percentage of total liabilities for December 31, 2016? (Round your answer to two decimal places.)
A) 100.00%
B) 43.07%
C) 19.10%
D) 42.18%
D .D) Vertical analysis % = (Specific item / Base amount) x 100
Vertical analysis % = ($445,000 / $1,055,000 ) x 100
Vertical analysis % = 42.18%
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