Sales Cost of goods sold Accounts receivable Numerator: 2021: 2020: 2019: 2018: 2017- 2021 $ 490,827 238,047 23, 658 Numerator: Compute trend percents for the above accounts, using 2017 as the base year. For each of the three accounts, state whether the situation as revealed by the trend percents appears to be favorable or unfavorable. 2020 $ 318,719 154,635 18,613 Trend Percent for Net Sales: 1 1 1 1 1 2021: 2020: 2019: 2018: 2017: Is the trend percent for Net Sales favorable or unfavorable? 2019 $ 261,245 128,548 17,843 Denominator: 2018 $ 193,515 94,337 11,282 Trend Percent for Cost of Goods Sold: 1 Denominator: 1 1 1 1 1 = = = = 2017 $ 145,500 69,840 9,996 = Trend percent Trend percent % % % % % % % % % 0%

Compute trend percents for the above accounts, using 2017 as the base year. For each of the three accounts, state whether the situation as revealed by the trend percents appears to be favorable or unfavorable