13) Given the following data:Net sales $100,000Cost of goods sold 60,000 Gross margin $ 40,000If net sales decreases by 10%, and cost of goods sold increases by 15%, gross margin would:A) increase by 40%B) decrease by 40%C) increase by 47.5%D) decrease by 47.5%14) When performing vertical analysis of an income statement, which of the following is usually used as the base?A) gross salesB) net salesC) net incomeD) gross margin15) Expressing gross margin for the year as a percentage of net sales for the year is an example of:A) vertical analysisB) horizontal analysisC) ratio analysisD) economic value added16) Vertical analysis looks at:A) percentage changes in the balances shown in comparative financial statementsB) the change in key financial statement ratios over a specified period of timeC) the dollar amount of the change in various financial statement amounts from year to yearD) individual financial statement items expressed as a percentage of a base (which represents 100%)17) If a balance sheet is subjected to vertical analysis which shows that current assets (using total assets as the base) have decreased from 53% to 36%, this would always mean that:A) the dollar amount of current assets has decreasedB) current assets have decreased as a percentage of total assetsC) the dollar amount of total assets has decreasedD) the dollar amount of total assets has increased18) Assume you are using total assets as the base in vertical analysis. Current assets in 20X1 are 42%, and are 36% in 20X2. This would always indicate that:A) the current ratio has decreased