The following is a summary of information presented on the financial statements of a company on December 31,2017. $$\begin{array} { | l | r | r | }
\hline \text { Account } & { \mathbf { 2 0 1 7 } } & { \mathbf { 2 0 1 6 } } \
\hline \text { Net Sales Revenue } & \$ 604,000 & \$ 504,000 \
\hline \text { Cost of Goods Sold } & 453,000 & \underline { 400,000 } \
\hline \text { Gross Profit } & 151,000 & 104,000 \
\hline \text { Selling Expenses } & \underline { 58,000 } & \underline { 50,000 } \
\hline \text { Net Income Before Income Tax Expense } & 93,000 & 54,000 \
\hline \text { Income Tax Expense } & \underline { 41,000 } & \underline { 21,000 } \
\hline \text { Net Income } & \$ 52,000 & \$ 33,000 \
\hline
\end{array}$$ With respect to net sales revenue,a horizontal analysis reveals ________.

Question

The following is a summary of information presented on the financial statements of a company on December 31,2017. $$\begin{array} { | l | r | r | } 
\hline \text { Account } & { \mathbf { 2 0 1 7 } } & { \mathbf { 2 0 1 6 } } \
\hline \text { Net Sales Revenue } & \$ 604,000 & \$ 504,000 \
\hline \text { Cost of Goods Sold } & 453,000 & \underline { 400,000 } \
\hline \text { Gross Profit } & 151,000 & 104,000 \
\hline \text { Selling Expenses } & \underline { 58,000 } & \underline { 50,000 } \
\hline \text { Net Income Before Income Tax Expense } & 93,000 & 54,000 \
\hline \text { Income Tax Expense } & \underline { 41,000 } & \underline { 21,000 } \
\hline \text { Net Income } & \$ 52,000 & \$ 33,000 \
\hline
\end{array}$$ With respect to net sales revenue,a horizontal analysis reveals ________.

Quizplus · Accepted Answer

Net sales revenue increased by $100,000 from $504,000 to $604,000, which represents a 19.84% increase.

The Following Is a Summary of Information Presented on the Financial