{"id":201968,"date":"2025-03-17T05:30:25","date_gmt":"2025-03-17T05:30:25","guid":{"rendered":"https:\/\/learnexams.com\/blog\/?p=201968"},"modified":"2025-03-17T05:30:28","modified_gmt":"2025-03-17T05:30:28","slug":"if-year-1-equals-780-year-2-equals-819-and-year-3-equals-896","status":"publish","type":"post","link":"https:\/\/www.learnexams.com\/blog\/2025\/03\/17\/if-year-1-equals-780-year-2-equals-819-and-year-3-equals-896\/","title":{"rendered":"If Year 1 equals $780, Year 2 equals $819, and Year 3 equals $896"},"content":{"rendered":"\n<p>If Year 1 equals $780, Year 2 equals $819, and Year 3 equals $896, the percentage to be assigned for Year 2 in a trend analysis, assuming that Year 1 is the base year, is<\/p>\n\n\n\n<p>a. 95%.<br>b. 115%.<br>c. 105%.<br>d. 109%.<\/p>\n\n\n\n<p><mark style=\"background-color:rgba(0, 0, 0, 0)\" class=\"has-inline-color has-ast-global-color-6-color\"><strong>The correct answer and explanation is :<\/strong><\/mark><\/p>\n\n\n\n<p>To determine the percentage assigned to <strong>Year 2<\/strong> in a <strong>trend analysis<\/strong>, assuming that <strong>Year 1 is the base year<\/strong>, we use the following formula:<\/p>\n\n\n\n<p>[<br>\\text{Percentage for Year 2} = \\left(\\frac{\\text{Value in Year 2}}{\\text{Value in Year 1}}\\right) \\times 100<br>]<\/p>\n\n\n\n<p>Given:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Year 1 (Base Year) = 780<\/strong><\/li>\n\n\n\n<li><strong>Year 2 = 819<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Applying the formula:<\/p>\n\n\n\n<p>[<br>\\left(\\frac{819}{780}\\right) \\times 100<br>]<\/p>\n\n\n\n<p>[<br>= (1.05) \\times 100<br>]<\/p>\n\n\n\n<p>[<br>= 105\\%<br>]<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Correct Answer: <strong>c. 105%<\/strong><\/h3>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Explanation:<\/h3>\n\n\n\n<p>Trend analysis is a financial and business tool used to compare data over time relative to a base year. The base year is always assigned a value of <strong>100%<\/strong>, and subsequent years are compared against this base.<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Understanding the Calculation<\/strong>:<\/li>\n<\/ol>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The base year (Year 1) is always <strong>100%<\/strong>.<\/li>\n\n\n\n<li>To find the trend percentage for Year 2, we divide the Year 2 value by the base year value and multiply by 100.<\/li>\n\n\n\n<li>This calculation shows how much the value has increased or decreased relative to the base year.<\/li>\n<\/ul>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Interpretation<\/strong>:<\/li>\n<\/ol>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The result, <strong>105%<\/strong>, means that Year 2 has <strong>increased by 5%<\/strong> compared to Year 1.<\/li>\n\n\n\n<li>If the percentage was below 100%, it would indicate a decrease.<\/li>\n\n\n\n<li>Since the percentage is above 100%, it confirms an upward trend.<\/li>\n<\/ul>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Importance in Analysis<\/strong>:<\/li>\n<\/ol>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Businesses use trend analysis to track performance, revenue growth, or expenses.<\/li>\n\n\n\n<li>A 5% increase suggests steady growth, which is generally a positive indicator.<\/li>\n<\/ul>\n\n\n\n<p>Thus, the correct answer is <strong>105% (option c)<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>If Year 1 equals $780, Year 2 equals $819, and Year 3 equals $896, the percentage to be assigned for Year 2 in a trend analysis, assuming that Year 1 is the base year, is a. 95%.b. 115%.c. 105%.d. 109%. The correct answer and explanation is : To determine the percentage assigned to Year 2 [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[25],"tags":[],"class_list":["post-201968","post","type-post","status-publish","format-standard","hentry","category-exams-certification"],"_links":{"self":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts\/201968","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/comments?post=201968"}],"version-history":[{"count":0,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts\/201968\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/media?parent=201968"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/categories?post=201968"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/tags?post=201968"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}