Horizontal analysis
Two income statements for Paragon Company are shown below.
| Paragon Company | ||
| Income Statements | ||
| For Years Ended December 31 | ||
| 2014 | 2013 | |
| Fees earned | $1,416,000 | $1,200,000 |
| Operating expenses | 1,044,000 | 900,000 |
| Net income | $372,000 | $300,000 |
Prepare a horizontal analysis of Paragon Company’s income statements.
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