Question 2 (10 marks) Part (a) (4 marks) 'Cat and Dog Pet Supplies Pty Ltd' sell pet supplies targeted at the personal household market selling products for domestic cats and dogs including a range of specialty food. Required: (1) Complete a horizontal analysis for the business below. (ii) Based on your findings make a recommendation and justification, include 2 points from the data, as to how the business has performed from 2019-2020 with consideration to the implications of covid. All answers must be rounded to no decimal places. Horizontal Analysis Cat and Dog Pet Supplies Pty Ltd Sales 2020 2019 $ Movement % Movement 205,000 160,000 Cost of Sales 125,000 103,500 Gross Profit 80,000 56,500 Total Operating Expenses 26,000 20,000 EBIT 54,000 36,500 Interest Expense 5,500 2,500 Profit before income tax 48,500 34,000 Income tax expense 12,600 10,200 Profit 35,900 23,800