A comparative income statement is given below for McKenzie Sales, Limited, of Toronto: Mckenzie Sales, Limited Comparative Income Statement Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Total expenses Net operating income Administrative expenses Interest expense Net income before taxes This Year $ 7,380,000 4,740,000 2,640,000 Last Year $ 5,608,800 3,515,500 2,093,300 1,381,000 1,074,500 711,500 609,000 2,092,500 1,683,500 547,500 102,000 $445,500 409,600 94,000 $ 315,800 Members of the company's board of directors are surprised to see that net income increased by only $129,700 when sales increasec by $1,771,200. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) Sales This Year 100.0 % Last Year 100.0 % Cost of goods sold 642% 62.7 % Gross margin 35.8% 37 3 % Selling and administrative expenses Selling expenses 18.7 % % Administrative expenses 96 % % Total selling and administrative expenses 28.3 % 0.0 % Net operating income 7.5% 37.3 % Interest expense 1.4 % 17% Net income before taxes 6.1 % 35.6%