Common-size analysis for fiscal year 2001: Given the information presented on Sheet 1, a) Complete...

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Accounting

Common-size analysis for fiscal year 2001: Given the information presented on Sheet 1, a) Complete these tables using common-size analysis;

b) Summarize the highlights from common-size analysis for these companies and indicate possible red flags following the tables.

question A is completed i think but if anyone can help me with question B

Income Statement - Common Size
DuPont Dow PPG
Revenues 100.00% 100.00% 100.00%
COGS 67.65% 79.18% 62.88%
Gross Profit 32.35% 20.82% 37.12%
SG&A Expenses 18.25% 10.10% 21.59%
Net Income 17.55% -1.38% 4.74%
Balance Sheet - Common Size
DuPont Dow PPG
Cash & Market Securities 14.3% 0.6% 1.3%
Receivables, net 9.7% 14.4% 16.8%
Inventories 10.5% 12.5% 10.7%
Total Current Assets 36.7% 29.0% 32.0%
Fixed Assets, net 33.0% 38.2% 32.6%
Total Assets 100.0% 100.0% 100.0%
Total Current Liabilities 20.0% 22.9% 23.1%
Total Liabilities 64.2% 71.9% 63.6%
Total Equity 35.8% 28.1% 36.4%

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