Answer:
Ayayai Corp.
Horizontal Analysis:
                                           2020            Increase                 2019
Net sales                     $632,600  $110,700    21.2%     $521,900
Cost of goods sold       463,600     53,200    13.0%        410,400
Gross Profit                   169,000     57,500    51.6%          111,500
Operating expenses      79,300      32,100   68.0%          47,200
Net income                 $ 89,700     25,400   39.5%        $64,300
Explanation:
a) Data and Calculations:
AYAYAI CORP.
Comparative Income Statement For the Years Ended December 31
                                           2020             2019
Net sales                     $632,600     $521,900
Cost of goods sold       463,600        410,400
Gross Profit                   169,000          111,500
Operating expenses      79,300         47,200
Net income                 $ 89,700       $64,300
Percentage increase or decrease = (Increase/Decrease)/Base Year's Value