In a trend analysis of Lester Company, which of the following changes appear to be the most significant in requiring further investigation?
A) An increase in revenue of 12%.
B) An increase in total assets of 5%.
C) An increase of 15% in borrowing costs.
D) A decrease of 4% in motor vehicle expenses.

Question

Quizplus · Accepted Answer

The increase of 15% in borrowing costs is a significant change and may indicate issues with the company's finances or ability to manage debt. The other changes are not as significant and do not necessarily indicate any problems with the company's operations.

In a Trend Analysis of Lester Company, Which of the Following