Assume the following sales data for a company:

2023	$976000
2022	884000
2021	707200

If 2021 is the base year, what is the percentage increase in sales from 2021 to 2022?

138%

25%

38%

125%

The following schedule is a display of what type of analysis?

	Amount	Percent
Current assets	$100,000	25%
Property, plant, and equipment	300,000	75%
Total assets	$400,000	100%

Ratio analysis

Vertical analysis

Horizontal analysis

Differential analysis

The use of alternative accounting methods

is not a problem in ratio analysis since eventually all methods will lead to the same end.

is only a problem in ratio analysis with respect to inventory.

may be a problem in ratio analysis even if disclosed.

is not a problem in ratio analysis because the footnotes disclose the method used.