Using 20x5 as the base year, prepare a trend analysis of the following data, and tell whether the situation shown by the trends is favorable or unfavorable. (Round your answers to one decimal place.)

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Net sales Cost of goods sold General and administrative 20x9 20x8 20x7 20x6 20x5 $51,040 $47,960 $48,400 $45,760 $44,000 34,440 30,800 3,080 29,400 28,000 expenses Operating income 10,560 10,368 10,176 9,792 9,600 6,040 6,792 7,144 6,568 6,400