Perform the horizontal, vertical, and ratio analysis. Interpret the results.

Income statement for XYZ business for the period ending 31st of December 2010 $ 94,600 INCOME Services rendered 94,600 (63,780) EXPENSES Salaries Telephone & internet Water & electricity Property rates and taxes Insurance Advertising costs Fuel Stationery Bank charges / interest paid Tax expense 25,000 6,500 16,000 1,000 7,300 1,000 2,500 412 654 3,414 NET PROFIT 30,820 Income statement for XYZ business for the period ending 31st of December 2010 $ 94,600 INCOME Services rendered 94,600 (63,780) EXPENSES Salaries Telephone & internet Water & electricity Property rates and taxes Insurance Advertising costs Fuel Stationery Bank charges / interest paid Tax expense 25,000 6,500 16,000 1,000 7,300 1,000 2,500 412 654 3,414 NET PROFIT 30,820