The comparative condensed income statements of Hendi Corporation are shown below.

Instructions
(a) Prepare a horizontal analysis of the income statement data for Hendi Corporation using 2013 as a base. (Show the amounts of increase or decrease.)
(b) Prepare a vertical analysis of the income statement data for Hendi Corporation in columnar form for bothyears.

Transcribed Image Text:

Hendi Corporation Comparative Condensed Income Statements For the Years Ended December 31 2014 2013 Net sales Cost of goods sold Gross proft Operating expenses Net income $600,000 $500,000 400,000 100,000 54,000 72,000 46,000 468,000 132,000 60,000