2012 2011

accounts receivable $60,000 $38,000

merchandise inventory 12,000 16,000

total assets 450,000 380,000

net sales 380,000 270,000

cost of goods sold 160,000 210,000

which of the following would result from a vertical analysis of its income statement?

a. accounts receivable increased $22,000 or 57.9% during 2012

b. gross profit is 57.9% of net sales for 2012

c. cost of goods sold increased $50,000 or 23.8% during 2012

d. net sales increased $110,000 or 28.9% during 2012