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  3. a comparative income statement is given below for

A comparative income statement is given below for McKenzie Sales, Limited, of Toronto: Sales McKenzie...

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Accounting

A comparative income statement is given below for McKenzie Sales, Limited, of Toronto: Sales McKenzie Sales, Limited Comparative Income Statement Cost of goods sold Gross margin Selling and administrative expenses: This Year $ 7,390,000 4,590,000 2,800,000 Last Year $ 5,616,400 3,511,500 2,104,900 1,392,000 1,077,000 710,000 613,500 2,102,000 698,000 97,000 1,690,500 414,400 $ 601,000 Selling expenses Administrative expenses Total expenses Net operating income Interest expense Net income before taxes 86,000 $ 328,400 Members of the company's board of directors are surprised to see that net income increased by only $272,600 when sales increased by $1,773,600. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) This Year Last Year Sales % % Cost of goods sold % % Gross margin 0.0 % 0.0 % Selling and administrative expenses: Selling expenses Administrative expenses Total selling and administrative expenses 0.0 % Net operating income 0.0 % Interest expense Net income before taxes 0.0 % de de de de de de % % % % 0.0 % 0.0 % % % 0.0 %

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