Question

​MacMan, Inc. reported the following​ data: 2019 2018 Amount Percentage Revenues ​$6,370 ​$4,980 ​$1,390 ​27.91% Cost of goods sold ​3,370 ​2,500 870 ​34.80% Gross profit ​3,000 ​2,480 520 ​20.97% Operating​ expenses: Sales and marketing expense 730 630 100 ​15.87% General and administrative expenses 420 440 ​(20) ​(4.55)% Research and development expense 470 410 60 ​14.63% Other expense 430 730 ​(300) ​(41.10)% Total operating expenses ​2,050 ​2,210 ​(160) ​(7.24)% Income before income tax 950 270 680 ​251.85% Income tax expense 260 250 ​$10 ​4% Net income​ (loss) ​$690 ​$20 ​$670 ​3,350% The horizontal analysis shows that cost of goods sold has​ ________. (Round your answer to two decimal​ places.) A. increased by​ 27.91% B. decreased by​ 27.91% C. decreased by​ 34.80% D. increased by​ 34.80%

Answer 1

Horizontal analysis

	2019	2018	Amount	%
Cost of goods sold	3370	2500	870	34.80%

So answer is d) Increased by 34.80%