cation.com Help Save & Exit Check my E13-3 Preparing and Interpreting a Schedule for Horizontal and Vertical Analyses [LO 13-2, LO 13-3, LO 13-5) According to the producer price index database maintained by the Bureau of Labor Statistics, the average cost of computer equipment fell 3.8 percent between January and December 2016. Required: 1. Conduct a horizontal analysis by calculating the year-over-year changes in each line item, expressed in dollars and in percentages for the income statement of Computer Tycoon Inc. for the year ended December 31, 2016 2-a. Conduct a vertical analysis by expressing each line as a percentage of total revenues, 2-b. Excluding income tax, Interest, and operating expenses, did Computer Tycoon earn more profit per dollar of sales in 2016 compared to 2015? Reg 1 Req 2A Reg 2B Conduct a horizontal analysis by calculating the year-over year changes in each time item, expressed in dollars and in percentages for the income statement of Computer Tycoon Inc. for the year ended December 31, 2016. (Decreases should be indicated by a minus sign. Round percentage values to 1 decimal place.) COMPUTER TYCOON, INC Income Statements For the Year Ended December 31 ces Chango in Dollars Percentage % 9 Sales Revenue Cost of Goods Sold Gross Profit Selling, General, and Administrative Expenses Interest Expense Income before Income Tax Expenso Income Tax Expense Net Income 2016 2015 $107.000 130,500 63,500 74.300 43,500 56,200 36,700 38.400 570 510 6,230 17,290 1,500 5,700 $ 4.7305 11,590 RRR % % HW 13 Save & Et Check my 1 Reg1 Reg 2A Reg 20 16.66 points Conduct a vertical analysis by expressing each line as a percentage of total revenues. (Hound percentage value to 1 dederal place Boow COMPUTER TYCOON, INC Heerences 5 For the Year Ended December 31 2016 Sales Revenge 5 107.000 Cost of Goods Sold 63,500 Gross Profit 13500 Seling. General and Administrative Expres 36 700 Interest Expense 570 Income before Income Tax Expense 5230 Income Tax Exp 1.500 Not income 5 4.730 130,500 74.300 56,200 38.400 510 17.290 5.700 11,590 % * 5