Selected comparative financial statements of Haroun Company follow.

HAROUN COMPANY Comparative Income Statements ($000)
For Years Ended December 31, 2009–2003 2009 2008 2007 2006 2005 2004 2003 Sales . . . . . . . . . . . . . . . . . . $1,694 $1,496 $1,370 $1,264 $1,186 $1,110 $928 Cost of goods sold . . . . . . . . 1,246 1,032 902 802 752 710 586 Gross profit . . . . . . . . . . . . . 448 464 468 462 434 400 342 Operating expenses . . . . . . . 330 256 234 170 146 144 118 Net income . . . . . . . . . . . . . $ 118 $ 208 $ 234 $ 292 $ 288 $ 256 $224 HAROUN COMPANY Comparative Balance Sheets ($000)
December 31, 2009–2003 2009 2008 2007 2006 2005 2004 2003 Assets Cash . . . . . . . . . . . . . . . . . . . . . . $ 58 $ 78 $ 82 $ 84 $ 88 $ 86 $ 89 Accounts receivable, net . . . . . . . . 490 514 466 360 318 302 216 Merchandise inventory . . . . . . . . . . 1,838 1,364 1,204 1,032 936 810 615 Other current assets . . . . . . . . . . . 36 32 14 34 28 28 9 Long-term investments . . . . . . . . . 0 0 0 146 146 146 146 Plant assets, net . . . . . . . . . . . . . . . 2,020 2,014 1,752 944 978 860 725 Total assets . . . . . . . . . . . . . . . . . . $4,442 $4,002 $3,518 $2,600 $2,494 $2,232 $1,800 Liabilities and Equity Current liabilities . . . . . . . . . . . . . . $1,220 $1,042 $ 718 $ 614 $ 546 $ 522 $ 282 Long-term liabilities . . . . . . . . . . . . 1,294 1,140 1,112 570 580 620 400 Common stock . . . . . . . . . . . . . . . 1,000 1,000 1,000 850 850 650 650 Other paid-in capital . . . . . . . . . . . 250 250 250 170 170 150 150 Retained earnings . . . . . . . . . . . . . 678 570 438 396 348 290 318 Total liabilities and equity . . . . . . . . $4,442 $4,002 $3,518 $2,600 $2,494 $2,232 $1,800.

Required 1 Compute trend percents for all components of both statements using 2003 as the base year.
Analysis Component 2 Analyze and comment on the financial statements and trend percents from part 1.AppendixLO1