exercise 13-1A (Algo) Horizontal analysis LO 13-1

ZACHARY CORPORATION Income Statements Year 3 Year 2 Percentage Change % Sales Cost of goods sold Gross margin Operating expenses Income before taxes Income taxes Net income (loss) $ 1,296,000 $ 1,003,500 797,040 602,100: 498,960 401,400 301,500 197,000 197,460 204,400 61,100 52,000 $ 136,360 $ 152,400 % Exercise 13-1A (Algo) Horizontal analysis LO 13-1 Zachary Corporation reported the following operating results for two consecutive years: Required a. Compute the percentage changes in Zachary Corporation's income statement components between the two years. (Negative amounts should be indicated by a minus sign. Round your answers to 1 decimal place. (l.e., 0.234 should be entered as 23.4).)