Problem: Comparative information taken from the Fogerty Company financial statements is shown below 2007 2006
(a) Accounts receivable $175,000 140,000
(b) Retained earnings $ 30,000 (40,000)
(c) Sales 855,000 750,000
(d) Operating expenses 170,000 200,000
(e) Income taxes payable 22,000 20,000
Instructions:
Using horizontal analysis, show the percentage change from 2006 to 2007 with 2006 as the base year.