PE 2-8BHorizontal analysis
Two income statements for Hitt Company are shown below.
| Hitt Company | ||
| Income Statements | ||
| For Years Ended December 31 | ||
| 2012 | 2011 | |
| Fees earned | $937,500 | $750,000 |
| Operating expenses | 612,500 | 500,000 |
| Net income | $325.00 | $250,000 |
Prepare a horizontal analysis of Hitt Company’s income statements.
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