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Comparative Information Taken from Friction Company's Financial Statements Is Shown

Question 160

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Comparative information taken from Friction Company's financial statements is shown below.Using horizontal analysis, show the percentage change and direction
(increase or decrease) from Year 1 to Year 2 with Year 1 as the base year. Comparative information taken from Friction Company's financial statements is shown below.Using horizontal analysis, show the percentage change and direction  (increase or decrease) from Year 1 to Year 2 with Year 1 as the base year.

Correct Answer:

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(a)$4,500/$30,000 = 15% decrease
(b)$16,...

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