The following information was drawn from the records of Moore Sales Company:

Required
a. Prepare a multistep income statement for each year.
b. Prepare a common size income statement for each year.
c. Assume that the operating trends between 2016 and 2017 continue through 2018. Write a brief memo indicating whether you expect net income to increase or decrease in 2018.

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2018 2017 Net sales Cost of goods sold Operating expenses Gain on the sale of land $60,000 $70,000 (25,000 (26,500 (13,200 16,100) 5,000