A company reported the following amounts of net income:
$$\begin{array} { | l | l | }
\hline 2006 & \$ 18,000 \
\hline 2007 & \$ 24,000 \
\hline 2008 & \$ 26,000 \
\hline
\end{array}$$ Which of the following is the percentage change in net income from 2007 to 2008?
A) 2.00%
B) 10.00%
C) 8.33%
D) 7.69%

Question

A company reported the following amounts of net income:
$$\begin{array} { | l | l | } 
\hline 2006 & \$ 18,000 \
\hline 2007 & \$ 24,000 \
\hline 2008 & \$ 26,000 \
\hline
\end{array}$$ Which of the following is the percentage change in net income from 2007 to 2008?
A) 2.00%
B) 10.00%
C) 8.33%
D) 7.69%

Quizplus · Accepted Answer

The percentage change in net income from 2007 to 2008 is calculated as follows:Percentage change = (Change in net income / Net income in previous year) x 100= (26,000 - 24,000) / 24,000 x 100= 2,000 / 24,000 x 100= 0.0833 x 100= 8.33%

A Company Reported the Following Amounts of Net Income 2006$18,0002007$24,0002008$26,000\begin{array} { | l | l | } \hline 2006 & \$ 18,000 \\\hline 2007 & \$ 24,000 \\\hline 2008 & \$ 26,000 \\\hline\end{array}200620072008​$18,000$24,000$26,000​​

A Company Reported the Following Amounts of Net Income $\begin{array} { | l | l | } \hline 2006 & \$ 18,000 \\\hline 2007 & \$ 24,000 \\\hline 2008 & \$ 26,000 \\\hline\end{array}$