Horizontal Analysis for Kellogg’s Refer to the fi nancial statement information of Kellogg’s reprinted at the back of the book.

Required 1. Prepare a work sheet with the following headings:

Increase (Decrease) from 2007 to 2008 2006 to 2007 Income Statement Accounts Dollars Percent Dollars Percent 2. Complete the work sheet using each of the account titles on Kellogg’s income statement. Round all percentages to the nearest one-tenth of a percent.

3. What observations can you make from this horizontal analysis? What is your overall analysis of operations? Have the company’s operations improved over the threeyear period?

AppendixLO1