Calculations for Horizontal Analyses:

Using the following income statements, perform the calculations needed for horizontal analyses.

Round percentages to one decimal place.

Lockey Fencing Corporation

Income Statements For the Years Ended December 31:

2013 2012

Net Sales $100,000 $75,000

Cost of Goods Sold $58,000 $45,000

Gross Profit $42,000 $30,000

Selling, General $9,000 $4,500

and Administrative Expenses

Income from Operations $33,000 $25,000

Interest Expense $3,000 $3,750

Income Before Income Tax $30,000 $21,750

Income Tax Expense $9,000 $6,525

Net Income $21,000 $15,225

Calculations for Vertical Analyses:

Using the above income statements, perform the calculations for vertical analyses. Round percentages to one decimal point.