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The Following Is a Summary of Information Presented on the Financial

question 5

Multiple Choice

The following is a summary of information presented on the financial statements of a company on 31 December 2017.
$\begin{array} { | l | l | l | } \hline \text { Account } & \text { 2017 } & \text { 2016 } \\\hline \text { Current assets } & \$ 68,000 & \$ 52,000 \\\hline \text { Accounts receivable } & 34,000 & \$ 0,000 \\\hline \text { Inventory } & 52,000 & 41,000 \\\hline \text { Current liabilities } & 76,000 & 49,000 \\\hline \text { Non-current liabilities } & 32,000 & 55,000 \\\hline \text { Share capital } & 51,000 & 42,000 \\\hline \text { Retained earnings } & 45,000 & 27,000 \\\hline & & \\\hline \text { Sales revenue } & \$ 526,000 & \$ 501,000 \\\hline \text { Cost of sales } & 402,000 & 400,000 \\\hline \text { Gross profit } & \$ 124,000 & \$ 101,000 \\\hline \text { Selling expenses } & 47,000 & \$ 1,000 \\\hline \text { Profit before income tax } & \$ 77,000 & \$ 50,000 \\\hline \text { Income tax expense } & 24,000 & \$ 16,900 \\\hline \text { Profit } & \$ 53,000 & \$ 33,100 \\\hline\end{array}$
What would a horizontal analysis report show with respect to Current liabilities?

Definitions:

Stratified Random Sampling

A method of sampling that involves dividing a population into smaller groups known as strata and then randomly selecting samples from each of these groups.

Quota Sampling

A sampling procedure in which the sample is chosen to reflect the numerical composition of various subgroups in the population. A haphazard sampling technique is used to obtain the sample.

Social Class

A division of a society based on social and economic status, affecting access to resources and opportunities.

Sample Size

The number of subjects or observations included in a sample selected from a population for the purpose of a statistical study.