Question
Question 6 (5 marks) XYZ Ltd reported the following financial data over a three-year period. 2016 2017 2018 Income $453 100 $460 200 $500 600
Question 6 (5 marks)
XYZ Ltd reported the following financial data over a three-year period.
2016 2017 2018
Income $453 100 $460 200 $500 600
Gross profit 290 200 292 800 320 800
Other expenses 150 000 190 400 160 200
Required:
- Prepare a horizontal analysis of the data using 2016 as the base year. (3 Marks)
- Discuss whether the trends signify a favourable or unfavourable situation. (2 Marks)
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Managerial Accounting
Authors: Ray H. Garrison, Alan Webb, Theresa Libby
12th Canadian Edition
1260193276, 978-1260193275
