For 2016, Macklin Inc. reported a significant increase in net income. At the end of the year, John Mayer, the president, is presented with the following condensed comparative income statement:

1. Prepare a comparative income statement with horizontal analysis for the two-year period, using 2015 as the base year. Use the minus sign to indicate an amount or percent decrease. If required, round percentages to one decimal place. 

2. To the extent the data permit, comment on the significant relationships revealed by the horizontal analysis prepared in (1).

Net income has    from 2015 to 2016. Sales have   ; however, the cost of goods sold has   at a   rate, causing net income to   .

Macklin Inc. Comparative Income Statement For the Years Ended Decemb 3, 2016 and 2015 2016 2015 $910,000 $700,000 350,000 $350,000 $139,150 115,000 85,000 $200,000 $230,400 150,000 50,000 ...$295,400 $200,000 50,000 $150,000 441,000 $469,000 Administrative expenses.. 99,450 $238,600 65,000 65,000 $230,400