- Revenue And Expense Data For Innovation Quarter Inc For Two Recent Years Are As Follows Current Year Previous Year Sal 1 (32.02 KiB) Viewed 42 times
- Revenue And Expense Data For Innovation Quarter Inc For Two Recent Years Are As Follows Current Year Previous Year Sal 2 (33.62 KiB) Viewed 42 times
a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. It required, round percentages to one decimal place. Enter all amounts as positive numbers Innovation Quarter Inc. Comparative Income Statement For the Years Ended December 31 Current year Amount Current year Percent Previous year Amount Previous year Percent Sales $613,000 $558,000 Cost of merchandise sold 349,410 290,160 % % % Selling expenses 104,210 106,020 % Administrative expenses 116,470 94,860 % 90 9 Income tax expense 18,390 27,900 % b. The vertical analysis indicates that the cost of merchandise sold as a percent of sales expenses by 2 percentage points, and administrative expenses percent of sales by 3 percentage points. by 5 percentage points, while selling by 2 percentage points. Thus, net income as a