Revenue and expense data for Gresham Inc. for two recent years are as follows:

a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. Round to one decimal place.
b. Comment on the significant changes disclosed by the comparative income statement.

Current Year $2,500,000 1,500,000 300,000 375,000 150,000 Previous Year Sales Cost of goods sold Selling expenses Administrative expenses Income tax expense $2,350,000 1,292,500 376,000 305,500 141,000