Following Is a Comparative Income Statement for Chui Corporation:
$\begin{array} { l r r } & 2017 & 2016 \\\text { Net sales } & \$ 122,000 & \$ 120,000\end{array}$

question 200

Essay

Following is a comparative income statement for Chui Corporation:
Chui Corporation
Comparative Income Statement
For the Years Ended December 31, 2017 and 2016 $\begin{array} { l r r } & 2017 & 2016 \\\text { Net sales } & \$ 122,000 & \$ 120,000\end{array}$ Expenses:
$\begin{array}{lrr}\text { Cost of goods sold } & 62,000 & 57,000 \\\text { Selling and general expenses } & 20,000 & 12,000 \\\text { Interest expense } & 12,000 & 14,000 \\\text { Income tax expense } & 6,000 & 7,000 \\\text { Total expenses }&100,000&90,000\\\text { Net income }&\$22,000&\$30,000\end{array}$ a_Prepare a horizontal analysis of Chui income statement.
b_What positive/negative changes do you see that may have contributed to the $8,000 decrease in net income?

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Definitions:

Keeping A Current Customer

The strategies and practices aimed at maintaining and enhancing a continuing relationship with an existing customer to ensure their repeat business.

Continental Shelf

The extended perimeter of each continent, which is submerged underwater, transitioning from the shore towards the deep ocean.

Numbered Features

This term does not correspond to a specific scientific concept and thus is considered not a valid key term.

Coral Reefs

Underwater ecosystems characterized by reef-building corals, which are colonies of tiny living animals found in marine waters that contain few nutrients.