Can you please help to prepare a horizontal and vertical analysis of the Balance Sheet and the Income Statement.

Based on the results of your vertical and horizontal analyses, which accounts appear out of alignment? Provide a brief analysis of the relationships between the accounts.

Statements of Income
For the Periods Ending June 30, 20X3, 20X2, and 20X1
(In Thousands)
	20X3		20X2		20X1
Sales	$18,848		$12,445		$ 8,213
Cost of goods sold	10,598		6,833		4,523
Gross profit	8,250		5,612		3,690
General and administrative expenses	967		3,366		1,889
Research and development costs	149		1,335		895
Income from operations	7,134		911		906
Net interest expense	217		64		161
Loss on sale of receivables, factored	-		-		77
Income before income taxes	6,917		847		668
Provision for income taxes	2,268		556		284
Net income	$ 4,649		$ 291		$ 384