Question: Calculate a trend analysis and interpret the results. The following sales & accounts receivable data is available for the Partridge Pear Tree Company.
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2005
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2006
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2007
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Net Sales
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$112,000
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$136,000
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$158,000
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Accounts Receivable (net)
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$21,000
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$32,000
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$43,000
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Using 2005 as the base year, make a trend analysis on the above data & tell whether the results suggest a favorable or unfavorable trend and why. You may round answer to one decimal point in developing your analysis.