Little Box Retailer reported sales of $58,000,000. In the prior year, sales were $52,000,000. What is the change in sales from the prior to the current year in terms of percentage? 1) 11.5% increase 2) 11.5% decrease 3) Not material. 4) 12 Big Box Retailer provides substantial rewards for repeat customers and also offers incentives for customers to purchase gift cards. Therefore, these liabilities are significant to the balance sheet. Are these policies a matter that requires disclosure and elaboration in the notes to the financial statements? 1) Yes, but only in the first note on revenue recognition. Further, elaboration of details related to the gift card and rewards liabilities are not necessary. 2) Retailers often report these matters, but it is not required by GAAP. 3) No, because this kind of activity is routine for retailers. 4) Yes, because the rewards and gift card liabilities are material to Big Box and disclosure of revenue recognition policies is required by GAAP