The average price of a gallon of gas in 2008 jumped $0.45 (16 percent) from $2.81 in 2007 (to $3.26 in 2008). Let's see whether these changes are reflected in the income statement of Chevron Corporation for the year ended December 31, 2008 (amounts in billions).

	2008			2007
Total Revenues	$	273		$	221
Costs of Crude Oil and Products		171			133
Other Operating Costs		59			56
Income before Income Tax Expense		43			32
Income Tax Expense		19			13
Net Income	$	24		$	19

Requirement 1:

Conduct a horizontal analysis by calculating the year-over-year changes in each line item, expressed in dollars and in percentages. (Enter your answers in billions. Input all amounts as positive values. Round your percentages to 1 decimal place. Omit the "$" and "%" signs in your response.)

Chevron Corporation Horizontal Analysis of Income Statements For the Years Ended December 31 (Dollars in billions)
	Change in Dollars	Percentage
Total Revenues	$	%
Costs of Crude Oil and Products		%
Other Operating Costs		%
Income before Income Tax		%
Income Tax Expense		%
Net Income	$	%

Requirement 2:
(a)	Conduct a vertical analysis by expressing each line as a percentage of total revenues. (Round your answers to 1 decimal place. Input all amounts as positive values. Omit the "%" sign in your response.)

Chevron Corporation Vertical Analysis of Income Statements For the Years Ended December 31
	2008		2007
Total Revenues		%		%
Costs of Crude Oil and Products		%		%
Other Operating Costs		%		%
Income before Income Tax		%		%
Income Tax Expense		%		%
Net Income		%		%