The income statement figures for the past five years for Phom Ltd are presented in the question. Prepare a trend analysis and a vertical analysis (using sales revenue as the base amount) and comment on the trends.

Phom Ltd Income statements for the period 2009 to 2013 2009 2010 2011 2013 $ 321 300 $ 330 900 352 400 $364 800 2600 367 400 $ 371 900 Sales revenue Interest received 2500 2 600 2 650 2550 Total revenue 323 800 333500 355050 374 450 Expenses Cost of sales Advertising expense Insurance expense Rent expense Utilities expense Depreciation Wages and salaries Interest expense 140 000 30000 15 000 24 000 1 800 12 000 60000 4 500 163 000 36 000 15 500 28 000 1970 12 000 64 500 4 900 175 000 40 000 15 500 30000 2 050 15 000 67 000 5 100 180 000 40 000 20 000 32 000 2100 15 000 69 000 200 160 000 32 000 15 000 26 000 12 000 63000 Total expenses 287 300 314500 325870 349 650 363300 Profit 36500 $ 19000 $ 29 180 17750 $ 11150