Problem 13-1A Calculating and analyzing trend percents LO P1

Selected comparative financial statements of Haroun Company follow.

HAROUN COMPANY
Comparative Income Statements
For Years Ended December 31, 20192013
($ thousands)	2019			2018			2017			2016			2015			2014			2013
Sales	$	1,563		$	1,369		$	1,246		$	1,142		$	1,065		$	991		$	812
Cost of goods sold		1,125			915			787			689			640			599			477
Gross profit		438			454			459			453			425			392			335
Operating expenses		335			262			240			177			154			152			126
Net income	$	103		$	192		$	219		$	276		$	271		$	240		$	209

HAROUN COMPANY
Comparative Balance Sheets
December 31, 20192013
($ thousands)	2019			2018			2017			2016			2015			2014			2013
Assets
Cash	$	145		$	191		$	199		$	203		$	211		$	208		$	215
Accounts receivable, net		1,040			1,092			988			758			668			633			446
Merchandise inventory		3,762			2,738			2,393			2,016			1,811			1,538			1,115
Other current assets		96			87			54			96			81			82			43
Long-term investments		0			0			0			296			296			296			296
Plant assets, net		4,602			4,585			4,010			2,263			2,338			2,079			1,785
Total assets	$	9,645		$	8,693		$	7,644		$	5,632		$	5,405		$	4,836		$	3,900
Liabilities and Equity
Current liabilities	$	2,426		$	2,040		$	1,338		$	1,113		$	966		$	914		$	589
Long-term liabilities		2,590			2,256			2,195			1,019			1,041			1,128			846
Common stock		1,755			1,755			1,755			1,560			1,560			1,365			1,365
Other paid-in capital		439			439			439			390			390			341			341
Retained earnings		2,435			2,203			1,917			1,550			1,448			1,088			759
Total liabilities and equity	$	9,645		$	8,693		$	7,644		$	5,632		$	5,405		$	4,836		$	3,900

Required: 1. Complete the below table to calculate the trend percents for all components of both statements using 2013 as the base year. 2. Refer to the results from part 1. (a) Did sales grow steadily over this period? (b) Did net income as a percent of sales grow over the past four years? (c) Did inventory increase over this period?