Question 4

Here are the comparative income statements of Bramble Corporation.

BRAMBLE CORPORATION Comparative Income Statement For the Years Ended December 31
		2022		2021
Net sales		$564,000		$470,000
Cost of goods sold		459,660		404,200
Gross profit		104,340		65,800
Operating expenses		75,576		38,540
Net income		$ 28,764		$ 27,260

(a) Prepare a horizontal analysis of the income statement data for Bramble Corporation, using 2021 as a base. (If amount and percentage are a decrease show the numbers as negative, e.g. -55,000, -20% or (55,000), (20%). Round percentages to 1 decimal place, e.g. 12.1%.)

BRAMBLE CORPORATION Comparative Income Statement choose the accounting period December 31For the Years Ended December 31For the Month Ended December 31
					Increase or (Decrease) During 2022
	2022		2021		Amount		Percentage
Net sales	$564,000		$470,000		$enter a dollar amount		enter percentages rounded to 1 decimal place	%
Cost of goods sold	459,660		404,200		enter a dollar amount		enter percentages rounded to 1 decimal place	%
Gross profit	104,340		65,800		enter a total amount for the first part		enter percentages rounded to 1 decimal place	%
Operating expenses	75,576		38,540		enter a dollar amount		enter percentages rounded to 1 decimal place	%
Net income	$ 28,764		$ 27,260		$enter a total net income amount		enter percentages rounded to 1 decimal place	%

(b) Prepare a vertical analysis of the income statement data for Bramble Corporation for both years. (Round percentages to 1 decimal place, e.g. 12.1%.)

BRAMBLE CORPORATION Condensed Income Statements choose the accounting period For the Years Ended December 31For the Month Ended December 31December 31
	2022					2021
	$		Percent			$		Percent
Net sales	$564,000		enter percentages	%		$470,000		enter percentages	%
Cost of goods sold	459,660		enter percentages	%		404,200		enter percentages	%
Gross profit	104,340		enter percentages	%		65,800		enter percentages	%
Operating expenses	75,576		enter percentages	%		38,540		enter percentages	%
Net income	$ 28,764		enter percentages	%		$ 27,260		enter percentages	%