Use the following selected information from Carleton Incorporated to determine the Year 1 and Year 2 trend percentages for cost of goods sold using Year 1 as the base.

	Year 2	Year 1
Net sales	$ 450,000	$ 425,000
Cost of goods sold	304,325	259,000
Operating expenses	55,240	53,240
Net earnings	27,750	19,800

Multiple Choice

• 36.4% for Year 2 and 41.1% for Year 1.

• 117.5% for Year 2 and 100.0% for Year 1.

• 65.1% for Year 2 and 64.6% for Year 1.

• 55.0% for Year 2 and 56.0% for Year 1.

• 119.4% for Year 2 and 100.0% for Year 1.