Comparative Income Statement
For the year ended December 31 2021 and 2020
			Increase or (decrease ) During 2022
	2021	2020	Amount($)	Percentage
Net sales	600,000	500,000	100,000	20%
Cost of goods sold	483,000	420,000	63,000	15%
Gross profit	117,000	80,000	37,000	46.25%
Operating expenses	57,200	44,000	13,200	30%
Net income	59,200	36,000	23,200	64.44%

Comparative Income Statement
For the year ended December 31 2021 and 2020
	2021	2020
Net sales	600,000	100%	500,000	100%
Cost of goods sold	483,000	80.50	420,000	84%
Gross profit	117,000	19.50%	80,000	16%
Operating expenses	57,200	9.53%	44,000	8.8%
Net income	59,800	9.97%	36,000	7.2

1. In reviewing the results of the horizontal and vertical analysis, what trends do you see?

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2. Define total variable overhead cost variance and explain the two components that makeup this variance