1. Selected comparative income statement amounts for a company are shown below. Using 2013 as the base year for a horizontal analysis, compute the account with the most significant change.

2013 2014

Sales $400,000 $520,000

General & administrative $27,000 29,700

expenses

Interest expense $1,000 $1,700

Miscellaneous expense $100 $200

Choose the correct answer:

• Miscellaneous expense.
• General and administrative expenses.
• Sales.
• Interest expense