Here are the comparative income statements of Eudaley Corporation.

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

EUDALEY CORPORATION Comparative Income Statements For the Years Ended December 31 Net sales Cost of goods sold Gross profit Operating expenses Net income 2014 $598,000 477,000 121,000 80,000 S 41,000 2013 $500,000 420,000 80,000 44,000 36,000