Prepare a horizontal analysis of the comparative income statement of CPA Tech, Inc. Each amount listed must be in your analysis with both a dollar and percent change noted. Round percentage changes to two decimal places

CPA Tech, Inc. Comparative Income Statement Years Ended December 31, 2006 and 2005

2006 2005 Revenue 430,000 373,000 Expenses: Cost of Goods Sold 202,000 188,000 Selling and general expenses 98,000 93,000 Interest Expense 10,000 4,000 Income tax expense 42,000 37,000 Total Expenses 352,000 322,000

Net Income 78,000 51,000