Max's Tire Center Company
Selected Data from the Financial

Max's Tire Center Company
Selected data from the financial statements of Max's Tire Center are provided below.
$\begin{array}{lll}&\underline{2012}&\underline{2011}\\\text { Fixed assets } & \$ 150,000 & \$ 138,000 \\\text { Depreciation expense } & 45,000 & 42,000 \\\text { Total assets } & 500,000 & 490,000 \\\text { Cashflow from operations } & 320,000 & 289,000 \\\text { Net sales } & 370,000 & 360,000 \\\text { Capital expenditures } & 15,000 & 13,000\end{array}$
-Refer to the selected data provided for Max's Tire Center. Which of the following would result from a horizontal analysis of Max's income statement?

A) Depreciation expense increased by $3,000 or 6.67% during 2012.
B) Depreciation expense increased by $3,000 or 7.14% during 2012.
C) Net sales is $370,000 in 2012.
D) The total assets is $500,000 in 2012.