Below is the partial balance sheet for Chantal Channel Limited:

December $31,2021$ December $31,2020$

Accounts Receivable $ $960,000$ $ $600,000$

Inventory $920,000750,000$

Total Assets $4,000,0003,000,000$

 

 

Instructions

Using the items from the comparative balance sheet of Chantal Channel Limited, illustrate horizontal and vertical analysis. Discuss the results of each type of analysis.