The Samuels Company presents the following condensed income statement and balance sheet information for 2007 and 2008.

Required
Based on the preceding information for Samuels Company, prepare vertical analyses of the income statements and balance sheets for 2008 and 2007. Do your analyses reveal any trends in the company€™s operations and financialposition?

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For Years Ended December 31 $100,000 $90,000 Cost of goods sold Gross profit Operating expenses Interest revenue Income before income taxes 16,500 $16,000 Income tax expense December 31 Long-term investments (bonds) Property and equipment (net) $120,000 S100,000 Common stock, $2 par Premium on common stock Total Liabilities and Stockholders' Equity 120,000 100.00