Income statement data for Cascade Images Inc. for the years ended December 31, 20Y5 and...

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Accounting

Income statement data for Cascade Images Inc. for the years ended December 31, 20Y5 and 20Y4, are as follows:

20Y5 20Y4

Sales $743,400 $590,000

Cost of goods sold (645,000) (500,000)

Gross profit $98,400 $90,000

Selling expenses $(29,000) $(25,000)

Administrative expenses (26,040) (21,000)

Total operating expenses $(55,040) $(46,000)

Income before income tax $43,360 $44,000

Income tax expenses (17,300) (17,600)

Net income $26,060 $26,400

Question Content Area

a. Prepare a comparative income statement with horizontal analysis, indicating the increase (decrease) for 20Y5 when compared with 20Y4. Round percentage answers to one decimal place.

	20Y5 Amount	20Y4 Amount	Incr (Decr) Amount	Incr (Decr) Percent
Sales	$743,400	$590,000	$fill in the blank ca4f6c00cfb603a_1	fill in the blank ca4f6c00cfb603a_2%
Cost of goods sold	(645,000)	(500,000)	fill in the blank ca4f6c00cfb603a_3	fill in the blank ca4f6c00cfb603a_4%
Gross profit	$98,400	$90,000	$fill in the blank ca4f6c00cfb603a_5	fill in the blank ca4f6c00cfb603a_6%
Selling expenses	$(29,000)	$(25,000)	$fill in the blank ca4f6c00cfb603a_7	fill in the blank ca4f6c00cfb603a_8%
Administrative expenses	(26,040)	(21,000)	fill in the blank ca4f6c00cfb603a_9	fill in the blank ca4f6c00cfb603a_10%
Total operating expenses	$(55,040)	$(46,000)	$fill in the blank ca4f6c00cfb603a_11	fill in the blank ca4f6c00cfb603a_12%
Income before income tax	$43,360	$44,000	$fill in the blank ca4f6c00cfb603a_13	fill in the blank ca4f6c00cfb603a_14%
Income tax expense	(17,300)	(17,600)	fill in the blank ca4f6c00cfb603a_15	fill in the blank ca4f6c00cfb603a_16%
Net income	$26,060	$26,400	$fill in the blank ca4f6c00cfb603a_17	fill in the blank ca4f6c00cfb603a_18%

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	20Y5	20Y4
Sales	$743,400	$590,000
Cost of goods sold	(645,000)	(500,000)
Gross profit	$98,400	$90,000
Selling expenses	$(29,000)	$(25,000)
Administrative expenses	(26,040)	(21,000)
Total operating expenses	$(55,040)	$(46,000)
Income before income tax	$43,360	$44,000
Income tax expenses	(17,300)	(17,600)
Net income	$26,060	$26,400