a. Prepare a comparative income statement with horizontal analysis, indicating the increase (decrease) for the current year when compared with the previous year. If required, round to one decimal place. Winthrop Company Comparative Income Statement For the Years Ended December 31 Current Previous year Amount year Amount Increase (Decrease) Amount Increase (Decrease) Percent Sales $2,280,000 $2,000,000 $ 280,000 % Cost of goods sold 1,960,000 1,750,000 210,000 % Gross profit $320,000 $250,000 70,000 % Selling expenses $156,500 $125,000 $ 31,500 % Administrative expenses 122,000 100,000 22,000 % Total operating expenses $278,500 $225,000 $ 53,500 % Income before income tax 41,500 25,000 16,500 % Income tax expense 16,600 10,000 6,600 % Net income $24,900 $15,000 $ 9,900 %