Fogel Company€™s income statements for the past two years are as follows:

Required:
Prepare a common-size income statement for year 2 by expressing each line item for year 2 as a percentage of that same line item from year 1. (Round percentages to the nearest tenth of apercent.)

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Fogel Company Income Statements For the Years 1 and 2 Year 1 Year 2 Sales Less: Cost of goods sold ,800,000 1,400,000 200,000) $1 $2,000,000 $ 600,000 (300,000) $ 200,000 $ 150,000 Gross margin $ 600,000 Less operating expenses: Selling expenses Administrative expenses (300,000) (110 $ 190,000 100 Net operating income Less: Interest expense Income before taxes $ 150,000