Accounting 26th Edition by Carl Warren ,Jim Reeve ,Jonathan Duchac

Exercise 40

Horizontal analysis of income statement
The following data (in millions) are taken from the financial statements of Target Corporation :

a. For Target Corporation, determine the amount of change in millions and the percent of change (round to one decimal place) from the prior year to the recent year for:
1. Revenue
2. Operating expenses
3. Operating income
b. What conclusions can you draw from your analysis of the revenue and the total operating expenses