- A Comparative Income Statement Is Given Below For Mckenzie Sales Limited Of Toronto Last Year 5 563 200 3 513 500 2 1 (25.65 KiB) Viewed 59 times
A comparative income
statement is given below for McKenzie Sales, Limited, of Toronto: Last Year $ 5,563,200 3,513,500 2,049, 700 McKenzie Sales, Limited Comparative Income
Statement This Year Sales $ 7,320,000 Cost of goods sold 4,650,000 Gross margin 2,670,000 Selling and administrative expenses: Selling expenses 1,389,000 Administrative expenses 712,000 Total expenses 2,101,000 Net operating income 569,000 Interest expense 100,000 Net income before taxes $ 469,000 1,076,000 614,500 1,690,500 359,200 89,000 $ 270,200 Members of the
company's board of directors are surprised to see that net income increased by only $198,800 when sales increased by $1,756,800. 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 Selling and administrative expenses: Selling expenses Administrative expenses Total selling and administrative expenses Net operating income Interest expense Net income before taxes % % % % % % % % % %