Answer:
a. The percentage of change from 2018 to 2019 is 6%
The change is an decrease.
b. The percentage of change from 2019 to 2020 is 12%
The change is an increase.
Explanation:
a.
The amount net income of change from 2018 to 2019:
Net income in 2019 - Net income in 2018 = $460,600 - $490,000 = -$29,400<0
The percentage of change from 2018 to 2019 = ($29,400/$490,000) x 100% = 6%
The change is an decrease.
b.
The amount net income of change from 2019 to 2020:
Net income in 2020 - Net income in 2019 = $515,872 - $460,600 = $55,272>0
The percentage of change from 2019 to 2020 = ($55,272/$460,600) x 100% = 12%
The change is an increase.
